đ¨ Ethereum Tests Key Resistance: Is a Market Pullback on the Horizon?
Ethereum ($ETH) has made a strong move upward, now testing a major resistance zone between $2,298 and $2,390. Historically, this region has acted as a firm supply barrier, and recent price activity suggests that Ethereum may be facing growing selling pressure. As the asset consolidates within this zone, market participants are watching closely for signs of a potential trend shift.
đ Technical Breakdown: Momentum Under Pressure
The current price behavior highlights a rejection at the supply zone, visible through long upper candle wicks â a classic sign of resistance. While ETH made an impressive climb, its momentum appears to be cooling. The asset is currently forming a consolidation range, signaling uncertainty and potential fatigue in the uptrend. If ETH dips below the $2,290 level decisively, it could trigger a downward movement with likely support targets around $2,158, $1,980, and potentially as low as $1,786. Traders seeking to short may consider placing stop-losses just above $2,393 for risk control.
đ Market Signals: Sentiment Turning Cautious
The volume behind the recent price rally has remained relatively muted, casting doubt on the sustainability of the move. Additionally, bearish divergence in the RSI (Relative Strength Index) is forming â a technical warning where price reaches new highs, but momentum weakens. This pattern often precedes a price correction and should not be ignored.
đĄ Strategic Outlook
Ethereum's approach to this critical resistance band is a decisive moment. While bullish sentiment has driven price upward, technical indicators and market structure point toward the possibility of a near-term reversal. Cautious observation and disciplined risk management are key during such pivotal periods. Whether ETH breaks through resistance or confirms a retracement, the coming sessions will be crucial in determining the next directional move.
