TLDR:
- Ethereum is trading around $1,830 after a recent pullback from $1,873
- ETH has formed a critical support zone between $1,772-$1,824 with 6.36 million ETH purchased by 4.5 million addresses
- Technical analysts suggest ETH could rise toward $2,000 if it clears the $1,880 resistance
- If the $1,772 support breaks, ETH could fall to $1,500 with few intermediate support levels
- April marked ETH’s fourth consecutive month of negative performance
Ethereum has been showing mixed price action in recent days, with a healthy pullback following a move above the $1,800 level. The second-largest cryptocurrency by market cap is currently trading around $1,830, representing a slight increase of nearly 1% over the past 24 hours.
The price action comes after ETH climbed above several key resistance levels, including $1,800 and $1,820. Bulls managed to push the price to a recent high of $1,873 before the current correction phase began.
Technical indicators show that Ethereum is now trading below the 100-hourly Simple Moving Average. A short-term bearish trend line has formed with resistance at $1,835 on the hourly chart.
This correction saw ETH dip below the 50% Fibonacci retracement level of the upward move from the $1,734 swing low to the $1,873 high.
Ethereum
ETH Price
Critical Support Zone
On-chain data reveals a crucial support level for Ethereum between $1,772 and $1,824, with an average price of $1,799. According to data from IntoTheBlock, more than 6.36 million ETH tokens were purchased by 4.5 million addresses within this price range.
This high concentration of buyers has created a strong support zone just beneath the current trading price. The theory suggests that when ETH approaches this level, investors with their cost bases in this region will likely defend their positions by buying more tokens.
This buying pressure could help the price remain above the support zone and potentially bounce back.
However, the data also shows significantly less investor activity at price levels below the $1,772 support. This lack of established support zones means that if the $1,772 level is breached, Ethereum could potentially fall to around $1,500 without finding substantial intermediate support.
The month of April proved challenging for ETH holders. Despite the burst of bullish momentum in the closing weeks of the month that pushed Ethereum above $1,800, the cryptocurrency failed to end April in positive territory.
This marked ETH’s fourth consecutive month with a negative performance, highlighting the ongoing challenges in the broader crypto market.
Potential Price Scenarios
Looking at the upside potential, Ethereum faces immediate resistance near the $1,820 level. The next key resistance is positioned around $1,840, followed by a major resistance at $1,880.
A clear move above the $1,880 resistance could potentially trigger a more substantial rally. In such a scenario, ETH might target the $1,950 resistance level or even make a push toward the psychologically important $2,000 mark.
If Ethereum manages to break above $1,950, further gains could be expected in the near term, with $2,050 serving as the next target level.
On the downside, initial support sits near $1,785 and the 61.8% Fibonacci retracement level of the recent upward move. The first major support is positioned around the $1,765 zone.
A drop below $1,765 could push ETH toward the $1,735 support. Further losses might send the price to the $1,720 level, with the next key support at $1,650.
The current technical structure suggests that Ethereum’s price direction in the coming days will largely depend on whether it can maintain position above the crucial $1,772 support zone or break through the resistance at $1,880.
With limited resistance ahead if the support holds, analysts suggest ETH could potentially reach as high as $2,100. Conversely, a breakdown below the key support could trigger a more substantial correction toward the $1,500 range.
The most recent price data shows Ethereum valued at around $1,830, reflecting the slight 1% increase over the past 24 hours.
