Ethereum Monthly RSI At 2018 Market Low — What Happened Last Time?

Source Bitcoinist

The price of Ethereum appeared to be back on its way to recovery, reclaiming the psychological $2,000 level earlier in the week. However, the altcoin was among the crypto assets heavily impacted by the latest inflation data in the United States, returning below $2,000.

This latest correction highlights the struggles of the Ethereum price over the past few months, underperforming even in the midst of a market-wide bull run. Interestingly, a prominent indicator has flashed the imminence of a bottom for the second-largest cryptocurrency.

Is ETH Ready For A Rebound?

In a March 28 post on the X platform, Chartered Market Technician (CMT) Tony Severino shared that a critical indicator for the Ethereum price is at 2018 bear market levels. The crypto expert suggested that the altcoin could be gearing up for a rebound from its recent lows.

This analysis is based on recent changes in the 1-month relative strength index (RSI) indicator on the Ethereum monthly chart. The relative strength index is a momentum indicator used in technical analysis to measure the speed and magnitude of an asset’s price changes.

The RSI oscillator is used to detect whether an asset is being overbought or oversold, indicating the tendency of a trend/price reversal. Typically, an RSI reading of over 70 signals an overbought market condition, while a relative strength index value below 30 suggests an oversold condition.

According to Severino, the monthly Ethereum RSI indicator is currently at a value last seen during the bear market in 2018. As observed in the chart below, the indicator also reached this bottom following the crypto market capitulation events in May and November 2022.

Ethereum

After reaching this level, the relative strength index and price of ETH tend to bounce back to new highs. In the 2018 cycle, the Ethereum price surged by nearly 4,000% from around $120 to the current all-time high of $4,878. 

Meanwhile, the altcoin returned to around this record-high price in early 2024 after reaching this RSI bottom in 2022. If history were to repeat itself, the price of ETH could bounce back from its current point to a new high.

However, Severino highlighted in his post that the monthly Ethereum RSI bottom in 2018 came after the price dropped roughly 94% from its then all-time high. The price of ETH is only 56% adrift from the local high and 63% from its current record high. Hence, it remains to be seen whether the Ethereum price is at risk of further decline.

Ethereum Price At A Glance

As of this writing, the price of ETH is around $1,880, reflecting an almost 7% decline in the past 24 hours.

Ethereum

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
What Crypto Whales are Buying For May 2025Crypto whales are making bold moves heading into May 2025, and three tokens are standing out: Ethereum (ETH), Artificial Superintelligence Alliance (FET), and Onyxcoin (XCN).
Author  Beincrypto
Apr 21, Mon
Crypto whales are making bold moves heading into May 2025, and three tokens are standing out: Ethereum (ETH), Artificial Superintelligence Alliance (FET), and Onyxcoin (XCN).
placeholder
Gold price snaps selling off after fresh Trump comments on tariffsGold price (XAU/USD) is turning positive, recovering above the $$3,300 level at the time of writing on Thursday after two days of firm selling pressure since it topped at $3,500 on Tuesday.
Author  FXStreet
Apr 24, Thu
Gold price (XAU/USD) is turning positive, recovering above the $$3,300 level at the time of writing on Thursday after two days of firm selling pressure since it topped at $3,500 on Tuesday.
placeholder
Gold price surges past $3,300 on trade jitters, yield slump reviving haven demandGold price snapped two days of losses on Thursday and rose $50, or more than 1.50%, amid renewed concerns about the US-China trade war.
Author  FXStreet
21 hours ago
Gold price snapped two days of losses on Thursday and rose $50, or more than 1.50%, amid renewed concerns about the US-China trade war.
placeholder
Gold price consolidates in a range; bulls have the upper hand while above $3,300Gold price (XAU/USD) struggles to capitalize on the previous day's move higher and oscillates in a narrow trading band during the Asian session on Friday amid mixed fundamental cues.
Author  FXStreet
21 hours ago
Gold price (XAU/USD) struggles to capitalize on the previous day's move higher and oscillates in a narrow trading band during the Asian session on Friday amid mixed fundamental cues.
placeholder
Gold edges down amid clash over status of US-China trade talksGold price is on the back foot on Friday, almost erasing all of Thursday’s gains, and looks set to close off this week in the red.
Author  FXStreet
16 hours ago
Gold price is on the back foot on Friday, almost erasing all of Thursday’s gains, and looks set to close off this week in the red.
goTop
quote