Ethereum continues to experience challenging times in the market, under pressure from a critical resistance level at $2434. Data indicates potential further declines.
Current Market Situation for Ethereum
Ethereum (ETH) is struggling to recover after significant liquidity changes that led to price drops near the lower limit of its trading range. ETH was fluctuating around $2420.79, under a key support-turned-resistance level at $2434.
Risks in the Inefficient Zone
The existence of a wide inefficiency zone between $2300 and $2400 adds risks for further declines. Analysts are tracking institutional behavior, pointing to this zone as potentially vulnerable for market structure breaks if not reclaimed soon.
Technical Signals and Intraday Activity
Intraday data shows that ETH opened at $2387.81 but quickly declined below $2300, stabilizing in the $2260-$2290 range. Increased trading volume during the drop indicates heightened sell-side pressure. The MA deviation indicator also registered a negative reading, signaling rising short-term bearish strength.
In the near term, ETH needs to stabilize above $2434; otherwise, the market may encounter increased selling pressure and further price declines.
