Investors were panicking over President Donald Trump’s ongoing trade war with China, while market conditions were less favorable than they are now, as interest rates were higher. Three months later, ETH had jumped to a new all-time high at $4,600.
Investors Panicked Over Kevin Warsh’s Pick as Future Head of the Fed
As OI gets this depressed and the Fear and Greed Index makes a new record low of 5, the market is definitely in “Extreme Panic” mode.
These are typically the conditions that the “smart money” loves, and this is often when strong accumulation starts. Ethereum traded for as low as $1,800 last week, as the market cratered following President Trump’s announcement regarding who he would pick as the future head of the Federal Reserve.
A strong risk-off move followed Kevin Warsh’s reveal as a potential replacement for Jerome Powell, causing cascade liquidations exceeding $8 billion in just a week.
ETH Maintains Bearish Structure
The Asian session started the week with further sales, as ETH retested a former support at $2,140. This is the key structural level to watch. If a rejection is confirmed by a sell signal in the lower time frames, this could send Ethereum back to $1,800 during the week.