Ethereum (ETH) is currently trading at $1,980.50 on Thursday, Feb 19, as the market experiences a new wave of selling pressure. The token declined by 1.84% in the last 24 hours. The trading volume also dropped by 5.02% to $19.54 billion. ETH has risen by 0.54% in the last week, according to CoinMarketCap.
Source: CoinMarketCap
ETH Rejected at Key Resistance Zone
Crypto Candy, an analyst, pointed out that ETH broke its daily support range at $2,300 to $2,100. This breakdown has turned this zone into a strong resistance range. ETH attempted to reclaim the zone but failed on each try. The rejection continues to weigh on sentiment.
Analysts warned that the coin may test the $1,700–$1,500 support zone if momentum does not improve. This view stands unless the altcoin recovers the $2,300–$2,100 range. The analyst noted that price action remains weak.
Source: X
Moreover, another analyst, More Crypto Online, mentioned that ETH is trading in a crucial area. The liquidation drop experienced by ETH last week pushed the coin to this area. This area often signals a trend change for the coin.
The analyst also pointed out that the price action experienced by the token since the recent drop is considered corrective but lacks the power to be a trend reversal.
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He further stated that the structure does not display a sign of a solid bottom. A clean five-wave pattern or a breakout above the weekend high must occur. Otherwise, a further fall in price is possible.
Source: X
On-Chain Data Flags Rising Downside Risk
Glassnode data shows that the ETH price is in a sensitive psychological area, and the $2,000 area typically attracts buyers. Nevertheless, persistent selling pressure makes a strong recovery less likely.
The next significant on-chain support level, according to the CBD Heatmap, is at $1,866, which marks previous accumulation levels. The token will experience increased risk if it breaks this level, potentially falling to $1,385, a previous structural level.
If altcoin falls to $1,385, it will represent a 30% fall from the current level. The next support level after $1,385 will be around $1,231.
Source: Glassnode
The situation may change if investors’ behavior improves, allowing the coin to hold above $2,000 due to decreased exchange deposits and increased buying pressure, potentially pushing the asset to $2,205 in the near term.
If buying pressure persists, the token could reach $2,500, potentially changing the current bearish trend. However, cryptocurrency remains in a downtrend, and traders are waiting for a possible change in the situation.
Also Read: Ethereum Holds Near $2,000 as Weak Structure Signals Further Downside