Ethereum Battles Key Support as Bearish Pressure Mounts
Ethereum (ETH) is facing significant downward pressure, with its price recently sliding below critical support levels of $2,200 and $2,120. Despite a modest attempt at recovery from a low of $2,073, the cryptocurrency continues to grapple with bearish momentum, casting a shadow over its immediate future as it struggles to overcome key resistance points.
The Current Market Landscape
ETH failed to sustain its position above the $2,250 mark, initiating a fresh decline that has pushed it into a bearish zone. Currently, Ethereum is trading below both $2,200 and its 100-hourly Simple Moving Average, indicating a strong bearish sentiment. A crucial bearish trend line has also formed on the hourly chart around the $2,255 resistance level. If ETH fails to clear the $2,250 resistance, further losses are anticipated. The initial downside support lies near $2,100, with the first major support zone at $2,075.
Technical Outlook and Price Trajectories
The technical indicators reinforce a bearish outlook. The hourly MACD for ETH/USD is showing increasing momentum within the bearish zone, and the hourly RSI is currently below the 50 mark. Should Ethereum break below the $2,075 support, the price could slide further toward the $2,050 support, and potentially even retest the major $2,000 region. A sustained move below this psychological $2,000 level could lead to a more significant downturn, with the next major support around $1,880. For a potential recovery, bulls need to initiate a clear move above the $2,250 resistance and subsequently overcome the trend line at $2,255. A successful breach of this resistance could propel the price towards the $2,390 level. Further upward movement beyond $2,550 might signal a stronger bullish rally, potentially targeting the $2,650 to $2,665 resistance zones in the near term.
