Will Parallel Channel Bulls Return Ethereum To $1,800?
In recent months, Ethereum (ETH) has been bearish. Price dropped 60% from nearly $4,000 in December 2024 to about $1,572. The daily chart shows a falling channel, indicating downward momentum.
Volume has plummeted 33.25% in 24 hours, yet ETH price has up 4.288%. Is Ethereum recovering or will bears prevail?
Price action suggests a protracted fall from December 2024. Since surpassing $4,000, ETH has plummeted to $1,572. A 60% drop in four months. The dropping channel shows how severe selling pressure has been for months.
ETH's price is probing the bottom limit of the descending channel and finding brief support at $1,422 (0 Fib level).
ETH Price Chart
Declining EMAs indicate a negative market structure. Thus, shorter-term EMAs are below, indicating negative momentum. ETH trades below all key moving averages.
The RSI is 28.37, suggesting ETH is oversold. Even at oversold levels, buyers are cautious, signaling a guarded market. However, if the market recovers, this oversold situation may allow a rebound.
Since December 2024, Ethereum has fallen clearly. Prices have repeatedly rejected rally efforts at the top border while finding support at the lower boundary. Price is testing this lower limit at $1,550, a significant mark where price might break down or rebound back.
The Fibonacci levels $2,029 (0.236), $2,405 (0.382), and $2,709 (0.5) are key resistance levels. Right near the bottom of the declining channel, $1,422 (0 Fib level) provides immediate support. A break below this level may increase selling pressure.
ETH Price Targets Bears must first surpass 0.236 Fib ($2,029) resistance. A break over this level might seek psychological $2,500 at the 0.382 Fib level.
If ETH breaks below the bottom border of the channel and goes below $1,422, it might drop another 24% to $1,200.
