Ethereum is under continued selling pressure after multiple attempts to reclaim key resistance zones failed. Recent price action shows weakening bullish momentum and a rising probability of a deeper retracement. The market is currently testing critical support levels that will likely determine ETH’s next major direction.
Ethereum Price Analysis: The Daily Chart
Ethereum has extended its corrective phase following repeated failures to hold gains above the $2,300–$2,400 resistance area. The asset recently dropped below the 100-day moving average near $2,150 and is now trading close to the lower boundary of a broader ascending channel around $2,000, indicating growing bearish control in the medium term.
These rejections imply sellers remain active during each recovery attempt. If ETH cannot defend the current channel support, a steeper decline toward the major demand region near $1,800 becomes more likely.
On the upside, regaining the $2,400 resistance level would be required before considering any meaningful shift in overall sentiment. Until that level is reclaimed, the structure favors continued consolidation or downside pressure.
ETH/USDT 4-Hour Chart
On shorter timeframes, Ethereum confirmed a bearish breakdown below an ascending wedge that had bounded price action for several weeks. After the breakdown, ETH attempted to recover toward the lost trendline but faced prompt rejection, validating the breakout and reinforcing the bearish continuation case.
The recent sell-off has pushed price toward a key support zone around $2,100, where short-term buyers are trying to stabilize the market. This area aligns with a notable demand block and the lower boundary of the larger rising channel, making it a critical level to watch.
If this support fails, the next downside target could be in the $2,000–$2,050 range. Conversely, holding above current levels could produce a temporary rebound, although strong resistance remains overhead near $2,200 and then $2,400.
Sentiment Analysis
The three-month liquidation heatmap shows a large concentration of liquidity above the current price, particularly around the $2,450–$2,500 zone. Markets often move toward substantial liquidation pools, which can trigger heightened volatility and position unwinding.
In the short term, Ethereum has started tapping liquidity pockets below current levels near $2,050–$2,100 while bearish momentum remains prevalent. This suggests downside pressure could continue before any substantial recovery toward higher liquidity clusters takes place.
The imbalance between nearby downside liquidity and heavier long-term clusters overhead points to elevated volatility ahead. Whether ETH first sweeps lower support zones or stages a rebound toward $2,500 will largely depend on price reaction at the current $2,100 demand area.