Ethereum’s (CRYPTO: $ETH) price is flashing a rare bottom signal, indicating that the worst of the selloff in the cryptocurrency might be coming to an end.
Ethereum is currently trading at $1,750 U.S., with the price close to a major historical support level of $1,700 U.S. That level has acted as a base during previous Ethereum selloffs.
Charts show ETH testing and remaining above the support level of $1,700 U.S. after falling from its all-time high of $4,800 U.S. last August.
Some analysts note that Ethereum’s price has bottomed four times near similar levels in the past, raising hopes that the worst might now be over for the second largest cryptocurrency.
Current chart patterns also suggest that Ethereum’s relative strength indicator is turning bullish.
There are also signs of seller exhaustion and capitulation, which usually precedes a bottom in digital assets such as Ethereum.
Charts can provide insights into the current set-up for assets such as crypto, but some analysts warn that they cannot predict investor sentiment or future behaviour.
