$ETH Ethereum price is poised for a downleg if it closes below $2,125

Ethereum price found support around its $2,125 level on Saturday and rose 13.56%, closing above its daily resistance of $2,359 the next day. However, ETH erased its recent gains on Monday but found support around its $2,125 level the next day and recovered 3.65% by Wednesday. At the time of writing on Friday, it declines and approaches its $2,125 support level.

If ETH declines and closes below $2,125, it could extend the decline to retest its weekly support level of $1,905.

The RSI on the daily chart reads 35 after rejecting around its neutral level of 50 on Sunday, indicating bearish momentum. At the same time, its MACD also showed a bearish crossover last week, suggesting a downward trend.

On the other hand, if the $2,125 level holds as support and ETH continues its recovery, it could extend the rally to retest its next resistance level at $3,000.