The Great ETH Crossover Conundrum: Zing Goes the 160-Day MA!

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It is a truth universally acknowledged, that a cryptocurrency in possession of a good market capitalization must be in want of a bit of a bump. Such is the case of Ethereum (ETH), the second most esteemed of the crypto linewidths, which might be on the brink of a significant shift, as the wise sages of the cryptoverse keep a watchful eye on the Market Value to Realized Value (MVRV) Ratio. According to crypto analyst Ali, a gentleman whose tweets are as illuminating as they are essential, a key crossover could signal an accumulation phase for ETH, much to the delight of its holders.

In a tweet that should be framed and placed on the mantel of every self-respecting Ethereum aficionado, Ali was heard to say, “Watch the MVRV Ratio closely. A crossover above its 160-day MA has historically signaled strong Ethereum ETH accumulation zones.” 📈💼

Watch the MVRV Ratio closely. A crossover above its 160-day MA has historically signaled strong #Ethereum $ETH accumulation zones.

— Ali (@ali_charts) March 29, 2025

This delightful indicator, which compares ETH’s market value to its realized value, has, in the past, been the harbinger of key accumulation when it embarked upon a merry dance above the 160-day moving average (MA).

At the time of writing, however, Ethereum was looking decidedly glum, having been on the wrong side of an extended sell-off for the past week. At the time of writing, ETH was down 2.03% in the last 24 hours to $1,843, having marked five consecutive days of declines since March 25. Coinbase or no Coinbase, a crypto down is a crypto down, and the mood was decidedly gloomy.

The top coins, carrying the mantle of their less fortunate brethren, fell to their lowest levels in at least a week as stock markets were shaken by macroeconomic concerns. The weekend was a veritable rollercoaster ride of hotter-than-expected inflation data, which left many an investor clutching their pearls.

Ethereum bearish outlook: Is reversal imminent?

Ethereum has declined by around 44% in 2025 and is on track for its largest quarterly decrease since the bear market in 2022. The active developers working on Ethereum-related software fell about 17% last year, according to a December report from Electric Capital, and Standard Chartered analysts have been less than optimistic, slashing their year-end forecast for Ethereum by 60%, noting that “its dominance has been waning for some time.”

ETH fell to a low of $1,797 on March 29 following five straight days of losses before recovering to $1,848 in the early Sunday session. Bulls might need to push and hold the price over $2,111 to indicate that the bearish trend is fading. The 50-day SMA around $2,293 may act as a barrier to the upside, but if broken, ETH might rise to $2,550, much to the relief of its beleaguered holders.

On the downside, the $1,800–$1,754 support zone remains critical. Buyers are expected to actively defend this range, as a break below it might reignite the downtrend. The next target in this scenario would be $1,550, which could leave even the most stalwart of investors reaching for the smelling salts.

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2025-03-30 14:08