Ethereum Struggles at $1,580: Market Uncertainty & Low Gas Fees Explained

Ethereum Price Stalls Amid Market Uncertainty

Ethereum's price has been trading in a tight range, hovering around $1,580, as reported by TradingView. The cryptocurrency has faced significant selling pressure, dropping 21% from its previous high of $2,000. Analysts suggest that this period of low volatility could precede a major price move, either upward or downward. The $1,850 resistance zone remains a critical level for bulls to reclaim, while a drop below $1,500 could lead to further losses.

Macroeconomic factors, including global trade tensions and monetary policy concerns, continue to weigh on investor sentiment. Ethereum's price compression is seen as a potential precursor to a breakout, with traders closely monitoring the market for signs of a decisive move.

“Ethereum’s price has been extremely compressed, which often leads to significant momentum-driven shifts,” noted analyst Daan.

Key Takeaways:

Ethereum is trading at $1,590, with resistance at $1,850 and support at $1,500.
Macroeconomic uncertainty is influencing market sentiment.
Price compression could signal an upcoming breakout.

Over $2.2 Billion in Bitcoin and Ethereum Options Expire

BeInCrypto reports that over $2.2 billion worth of Bitcoin and Ethereum options contracts expired on Good Friday. This includes 23,221 Bitcoin options contracts valued at $1.966 billion and 177,130 Ethereum contracts worth $279.789 million. The maximum pain strike price for Bitcoin was $82,000, while Ethereum's was $1,600.

Analysts predict that the options expiry could lead to increased market volatility. Despite a put-to-call ratio below 1, indicating optimism, the market remains cautious due to macroeconomic uncertainties and bearish sentiment.

Key Takeaways:

Bitcoin options had a notional value of $1.966 billion, with Ethereum at $279.789 million.
Maximum pain strike prices were $82,000 for Bitcoin and $1,600 for Ethereum.
Market volatility is expected post-expiry.

Ethereum Gas Fees Drop to Near-Zero

According to Cryptopolitan, Ethereum's average transaction cost has dropped to $0.168, marking a five-year low. This decline reflects reduced user activity on the network. Ethereum's DeFi total value locked (TVL) also fell by 3% in the past week to $46.85 billion, while Solana's TVL rose by 4.4% to $7.07 billion.

Experts suggest that the low gas fees present an opportunity for developers and users to interact with the network at a lower cost. However, Ethereum's price has declined by 61% over the past four months, currently trading at $1,596.

Key Takeaways:

Ethereum gas fees are at a five-year low of $0.168 per transaction.
DeFi TVL dropped by 3% to $46.85 billion.
Ethereum's price is down 61% over four months.

Solana Dominates Blockchain Revenue Despite Activity Drop

CryptoSlate reports that Solana continues to lead in blockchain revenue, accounting for 70% of on-chain earnings, despite an 80% drop in memecoin activity. Solana-based decentralized applications generated 46% of total on-chain revenue in March. However, the network's total revenue has declined by over 90% from its January highs.

The decline is attributed to reduced transaction fees and the collapse of several memecoins. Solana's future revenue performance will depend on the development of new applications and use cases.

Key Takeaways:

Solana accounts for 70% of blockchain revenue.
Memecoin activity has dropped by 80%.
Total network revenue has declined by over 90% since January.

Solana Price Analysis: Consolidation and Potential Breakout

According to TradingView, Solana's price is consolidating between $130 and $136, with $136 acting as a critical resistance level. A breakout above this level could trigger a bullish push, with potential targets at $140, $147, and $152. However, a failure to break above $136 could lead to a retracement toward $125.

Solana's price has shown resilience, recovering from a false breakdown below $100 earlier this month. The current consolidation phase is seen as a pivotal moment for the cryptocurrency's short-term trend.

Key Takeaways: