Ethereum's Uphill Battle: ETH Price Recovery Stalls Amidst Key Resistances
Ethereum (ETH) has encountered significant headwinds in its attempt to rebound, with its price extending declines below crucial support levels of $2,220 and $2,200. While the cryptocurrency is showing signs of recovery from the $2,100 mark, it faces a formidable wall of resistance, particularly around the $2,250 level, suggesting that bearish pressure remains strong.
Navigating the Bearish Current
The recent price action for Ethereum indicates a struggle to maintain upward momentum. After failing to stay above $2,300, ETH initiated a fresh downturn, dropping below $2,265 and the 100-hourly Simple Moving Average. A prominent bearish trend line has also formed on the hourly chart, reinforcing the $2,250 resistance. This technical setup implies that unless bulls can decisively break past the $2,350 threshold, the path of least resistance for Ethereum could lead to further declines. The initial recovery from a low of $2,107 has seen the price test the 23.6% Fib retracement level, but strong selling interest persists.
Critical Levels to Watch
For a sustained recovery, Ethereum must overcome immediate resistance at $2,250 and subsequently tackle $2,265. Beyond these, major resistance levels loom at $2,460 and $2,575, with the latter coinciding with the 50% Fib retracement of the recent downward swing from $3,040 to $2,107. A clear breakout above $2,460 could ignite further upward movement. Conversely, a failure to clear the $2,265 resistance could trigger another descent. Key support levels on the downside are identified at $2,200, $2,175, $2,120, and potentially as low as $2,050, with the ultimate major support standing at $2,000. Technical indicators, such as the Hourly MACD gaining bearish momentum and the Hourly RSI positioned below the 50-zone, further underscore the prevailing bearish sentiment in the short term.
