Ethereum (ETH) has been on a downward slide lately, dropping 17% in the last month. Experts are watching closely to see if it can break through some key resistance levels.
Crucial Resistance Levels
Crypto analyst Ali Martinez has identified two important price points:
- $2,100: This is seen as a necessary level for a new upward trend to begin.
- $2,300:
This is considered even more crucial. Breaking through this level would strongly signal a bullish reversal.
If Ethereum fails to climb above these levels, it could fall further, potentially hitting $1,600 or even $1,155. That would mean additional losses of 12% and over 37%, respectively, making it even worse than Ethereum’s already historically bad first quarter.
A Wall of Resistance
Martinez also pointed out a significant resistance zone between $2,200 and $2,580. Data shows that many investors (around 12.43 million) bought a lot of ETH (66.18 million) in this range. Breaking through this resistance could lead to a price surge. However, experts aren’t seeing many clear catalysts for this to happen.
Weak Support and Accumulation Zones
Data from Glassnode shows that support for ETH at current prices is weak. Many investors are selling at a loss. A large group of ETH holdings around $2,000-$2,050 recently disappeared, suggesting some holders are trying to lower their average purchase price.
The largest accumulation zone below the current price is at $1,537. If the price keeps falling, this level might act as a temporary floor, preventing further drops.
Current Situation
Currently, ETH is trading around $1,830, down 12% for the week. The overall outlook is uncertain, with the possibility of either a rebound or a continued decline.
