After a 30% Increase, Ethereum Shows a Worrying Bearish Signal

After a spectacular 30% rebound, Ethereum has just triggered a worrying technical sell signal. While investors hesitate between taking their profits or betting on another rebound, one question arises: does this signal announce a sharp correction or just a pause before a new rise?

In brief

• Ethereum emits a technical sell signal (TD Sequential) after a 30% rally, suggesting a possible bearish reversal.
• The CLARITY Act, whose vote is uncertain before August, could strongly impact the crypto market.
• Investors must watch key supports ($1,875, $1,857) and anticipate reactions after the vote.

Ethereum Triggers a Sell Signal After a 30% Rally

The TD Sequential, a feared technical indicator, has just sounded the alarm for Ethereum (ETH). After a blazing 30% rally from its recent lows near $1,500, ETH hit a peak around $1,980, triggering a sell signal that worries investors. Indeed, this indicator had previously correctly predicted the prior rebound, moving from $1,500 to nearly $2,000.

Today, with ETH flirting with $1,900, the market seems at a decisive turning point. The most cautious traders are therefore starting to lock in their profits, fearing a bearish reversal. Yet, some see this as a buying opportunity before a new surge. Is the TD Sequential right once again, or is it a false signal in an already very volatile market?

Ethereum Facing a Crucial Test: Could the CLARITY Act Vote Change Everything?

While Ethereum wavers under the pressure of bearish technical signals, another factor could shake things up: the CLARITY Act vote, likely scheduled for August 3, 2026. This legislation, eagerly awaited by the crypto industry, could provide essential regulatory clarity to attract institutional investors. A positive adoption could invalidate bearish signals and propel ETH towards new highs. However, uncertainty remains.

Historically, crypto regulations have often been controversial, with unpredictable effects on the markets. Some analysts already dare to predict that if the vote passes, Bitcoin (BTC) could explode to $600,000 within two years. But what about Ethereum? Between regulatory hope and technical pressure, ETH stands at a crossroads. Should investors expect a post-vote rebound or beware of a free fall? The answer might depend on the next 48 hours.

Between alarming technical signals and regulatory hopes, Ethereum is playing its future. Should you sell now or hold on betting on the CLARITY Act? One thing is certain, the coming days will be eventful. And you, what would you do?