Ethereum price analysis ETH$1 799, the second-largest digital asset with a massive valuation of $255 billion, dropped briefly below the crucial $2,000 price level after a 1.22% price decline in the past 24 hours. According to CoinMarketCap, the market leader trades at $2,113.09 at press time, suggesting intense demand below $2,000 and a 148.13% increase in trading volume.
Notably, despite President Donald Trump’s announcement regarding a US crypto reserve that will include Bitcoin (BTC) and ETH as its “heart,” there is no significant bullish momentum for the crypto space. Trump’s reserve will not include any new purchases but only the tokens the government already holds, which have been seized from various sources over the years.
Crypto Analyst 18% Price Move?
According to prominent crypto analyst Ali Martinez on X (formerly Twitter), Ethereum is gearing up for an 18% price move. He highlighted that cryptocurrency consolidates within a descending triangle, a pattern that usually signals a continuation of the existing trend, which, in this case, has been bearish. The horizontal support around $2,000 is a crucial support level to watch. A confirmed breakdown below this could trigger a sharp drop, potentially testing $1,900 or even $1,875 as the following downside targets.
However, if ETH breaks above the descending trendline resistance near $2,150-$2,200, it could invalidate the bearish setup, leading to a potential short squeeze toward $2,300-$2,400. It is important to note that ETH’s brief fall below $2,000 in the past day resulted from $230 million in ETH long positions being liquidated on Sunday.
However, despite the prevailing bearish circumstances, Martinez highlighted. That a whopping 600,000 Ether tokens were withdrawn from crypto exchanges in the past week. They provide investors with an optimistic outlook amid an uncertain market.
Ethereum Price Analysis
The daily chart provided by TradingView below shows the Relative Strength Index (RSI). The Ethereum price action reads 37.95, which means that the bears are overall in control. The gradient of the line suggests increased chances of a retest of the 20-day Exponential Moving Average (EMA) at $2,338.
On the other hand, the MACD indicator shows that the signal line (orange) is above. The MACD line (blue) means that the sellers dominate. Meanwhile, the histogram is also red. However, a bullish crossover could occur if the blue line breaks above the signal line. They who would be in line with Ethereum reclaiming the 20-day EMA.
In Summary
Although Ethereum’s price has fallen below $2,000, the market indicates strong demand for the cryptocurrency below this threshold. Significant support and resistance levels are being attentively monitored, and a top expert projects an 18% price rise. A sizable withdrawal of Ethereum tokens from exchanges offers hope despite pessimistic tendencies.
Disclaimer:
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