- Ethereum dropped to $2,100, then surged 100% in six weeks.
- ETH price is struggling below $2,700, with $2,350 as the next key support.
- Exchange reserves shrinking, signaling possible accumulation and a future rally.
Ethereum—ETH, took a hard fall, crashing to $2,100 before bouncing back with a 100% rally in six weeks. Now, another major move could be on the horizon. The 200-day moving average, once a support level, has flipped into resistance near $3,000. Prices also dropped below $2,700, increasing the risk of a deeper correction. However, an oversold RSI hints at a possible rebound. Will buyers step in, or will another sell-off take over?
Ethereum 2024 vs. 2025: Technical Patterns Look Familiar
The daily chart reveals a clear bearish trend. The price of Ethereum broke below the 200-day moving average, a key level for long-term momentum. The market lost $2,700, which could open the door for a drop to $2,350. Shorter timeframes show consolidation inside a descending channel. The $2,700 zone is now acting as resistance. A rejection here could push prices lower, making a test of $2,350 almost certain.
But if buyers regain control, a rally toward $3,000 might follow. Technical indicators add more uncertainty. The RSI has reached an oversold level, often a signal of an upcoming bounce. If Ethereum reclaims $3,000, bullish momentum could return. Otherwise, bears might extend the decline.
Ethereum 2024 vs. 2025: On-Chain Data Hints at Accumulation
Price action may look weak, but On-chain data tells another story. Exchange reserves have dropped sharply, meaning fewer coins remain on trading platforms. A declining exchange balance often signals accumulation. Many investors remove holdings from exchanges when preparing for long-term gains.
A lower supply, combined with rising demand, frequently leads to strong rallies. The last time Ethereum followed this pattern, the price doubled within six weeks. A similar setup is forming again. If buyers step in at key levels, another explosive move could follow.
Ethereum is t a critical juncture. Reclaiming $2,700 could trigger a strong recovery. A failure to do so might send prices tumbling further. The next move will decide the trend for the coming months.