Ethereum is at a critical juncture, struggling to stabilize after a recent pullback. Despite a rebound from last week's lows, the recovery lacks significant bullish momentum, leaving the cryptocurrency vulnerable to further downward pressure. Analysts are closely watching key price levels for definitive signals on its short-term trajectory.
Ethereum's Precarious Position: Awaiting a Decisive Move
Ethereum currently trades within a technically vulnerable zone, with its recent bounce appearing weak and corrective rather than signaling a robust bullish reversal. According to market insights from More Crypto Online, until a clear five-wave impulsive structure emerges or the price decisively breaks above the previous weekend high, the probability of further downside remains elevated. The current price action suggests a potential counter-trend rally within a broader bearish or sideways market framework, indicating that the overall risk profile for ETH has not substantially improved.
Key Resistance at $2,100: A Shifting Landscape
Expert analyst and investor Luca highlights a critical rejection point around the $2,100 mark. This level, which previously served as strong support, has now flipped into resistance following Ethereum's recent decline. The inability of the price to reclaim this crucial range underscores the fragility of any upward momentum. Luca's analysis points towards a more probable path of continued descent towards a higher-timeframe support zone, identified around the early-April bottoming formation. Given this outlook, Luca is strategically hedging on lower timeframes to mitigate potential downside exposure, prioritizing capital protection until clearer bullish strength or a validated bottom emerges.
