ETH is currently fluctuating around the 2000 point mark, indicating a potential for further adjustments. In terms of short-term liquidity, ETH is performing better than BTC. We previously discussed that when the MVRV ratio is below 1, it may indicate a potential buying opportunity. In earlier analysis, we anticipated that ETH might reverse around the 1780 area and rise to the 1950 area.
However, currently, ETH's price is not only below the 1950 point but also below the 100-hour moving average. Meanwhile, the RSI indicator on the hourly chart is also below the 50 area, forming a short-term downward trend. We expect that a bullish reversal may only occur if ETH stabilizes in the 1890 to 1950 area.
If ETH cannot rise to the 1890 to 1950 area, it may continue to decline, with the next resistance area still being 1950. However, if ETH can clearly break through the current downward trend, it may rise to the critical resistance level below the 2014 area. In the short term, ETH's support area is between 1800 and 1780.
