Ethereum has been under pressure on higher and lower time frames over the past few weeks. Prices have rebounded comfortably from recent lows around $1.5,000, but the broader structure continues to favor sellers. $ETH It trades below the major moving averages and within a long-term descending channel. At the same time, foreign exchange reserve data continues to trend aggressively downward, suggesting a sustained withdrawal of supply from centralized exchanges despite weak price trends.
Ethereum Price Analysis: Daily Chart
In the daily time frame, $ETH It remains trapped in a secular downward channel that has dominated price trends for several months. The recent bounce off the $1.5,000 support zone has allowed buyers to recoup some of the recent losses. However, this rebound has so far failed to change the broader bear market structure.
The most important resistance lies between $2,000 and $2.2,000, highlighted by the confluence of the 100-day moving average and a major supply zone. A daily close above this area would be the first meaningful signal that downside momentum is changing, potentially opening the door to a high of $2.4 million, where the 200-day moving average also currently resides. Until that happens, $ETH It is likely that the stock will continue to make new highs and lows. The overall trend remains bearish as it is unable to reclaim the $2,000-$2,2000 resistance zone.
On the downside, the $1.5,000 support area remains an important level to watch. This zone has attracted strong demand recently, leading to a recent recovery. A break below this will expose the lower bound of the descending channel and could lead to another leg down towards the $1,000 area. The RSI has also recovered from oversold conditions but remains below bullish territory, suggesting that the recent rally is a corrective move rather than the beginning of a sustained trend reversal.
$ETH/USDT 4 hour chart
The 4-hour chart shows a more constructive short-term structure. Following a sharp decline into the $1.5,000 demand zone, $ETH A series of lows formed, supported by the uptrend line that has guided the recovery over the past two weeks.
This rally culminated in a strong impulse move towards the $1.85,000 decision area, with sellers quickly re-entering the market. Since reaching that level, the price has struggled to rise again and has started consolidating below the resistance level.
the current, $ETH is trading near $1.75,000 while remaining just above the short-term uptrend line. This creates a short-term inflection point. As long as the trend line remains intact, buyers may attempt a further push towards the $1.85,000 resistance zone.
A successful break above this area could significantly improve short-term sentiment and accelerate the move towards the higher time frame supply zone around $2,000.
Conversely, a loss of the uptrend line could invalidate the recent recovery structure and bring the focus back to the $1.5,000 support area. A break below that zone increases the likelihood of regaining full bearish control and continuing towards even lower price levels.
On-chain analysis
Ethereum’s foreign exchange reserves continue to decline sharply, reaching approximately $14.6 million $ETH. Despite significant price fluctuations, this indicator has been on a downward trend since mid-2025.
A decline in foreign exchange reserves generally indicates that coins are being withdrawn from trading venues, reducing readily available sell-side liquidity. Historically, a sustained decline in foreign exchange reserves has tended to be seen as a constructive long-term signal, as it reflects the accumulation and self-storage behavior of market participants.
But the current divergence is noteworthy. Despite the fact that foreign exchange balances have fallen to record lows, $ETH A bullish market structure has yet to be established. This suggests that macro sentiment and broader market conditions will continue to outweigh positive supply conditions in the short term.
Nevertheless, if demand recovers while foreign exchange reserves remain near record lows, a reduction in available supply could amplify any future upward movement. For now, the on-chain background still provides structural support, even if the technical situation still requires it. $ETH The $2,000 resistance area could be regained before a larger bullish reversal is confirmed.
