Ethereum has been experiencing a significant decline after reaching highs above $4,000. This article examines key support and resistance levels, technical indicators, and possible scenarios for Ethereum's price trajectory in the coming weeks.
Ethereum's Current Downtrend
Ethereum continues its decline, forming lower highs and lows. The price has dropped below $3,500, triggering increased selling pressure. Currently, Ethereum is testing support near $2,000, which has historically served as a strong demand level.
Strength of the $2,000 Support
$2,000 is a significant support level for Ethereum. If it falls below this level, the next support could be at $1,500-$1,600. A breakdown here could lead to a drop to $1,200-$1,000, a challenging scenario for bulls.
Analysis of Ethereum's Potential Movements
The Relative Strength Index (RSI) is at 25, indicating oversold conditions. For a trend reversal, Ethereum needs to surpass resistance levels. If ETH fails to hold above $2,000, the next target would be $1,600-$1,500.
Ethereum is at a pivotal level. Whether its price holds above $2,000 or continues to fall will depend on market sentiment. Short-term focus should be on the $2,500 level for a potential reversal.
