Ethereum (ETH) is holding relatively well, however, with ETH trading at $1,772.87 after a 0.95% 24-hour move to the upside. Even with the increase, its 24-hour trading volume is down by 6.78% to $15.47 billion. In the past week, Ethereum has increased by 11.41%, with an average trading price of $1,771.90 during the last week. The cryptocurrency has since been trading in a narrow range just above its immediate $1,750 support area. Analysts are looking at a possible tussle between bullish and bearish forces.
The digital asset has been facing significant resistance at the important $1,895 supply zone. At these levels, roughly 1.64 million ETH was collected in November 2024. Technical indicators paint a conflicting picture, indicating that traders should be cautious but optimistic.
Technical Analysis Reveals Critical Levels
Ethereum’s Relative Strength Index (RSI) is currently at 57.61, showing a neutral market position. Average Directional Index (ADX) at 86.2 is very high, indicating a solid trend. On the downside, a crossover in the Moving Average Convergence Divergence (MACD) indicator has turned negative, hinting at possible selling pressure ahead.
Immediate key resistance levels to watch are $1,800 and $1,895, which need to be breached to maintain bullish momentum. Not upholding support at these levels again risks a re-retest of the $1,400 floor. A break below $1,734 could set off a larger correction.
Recent Accumulation and Address Activity
On April 22, Ethereum saw the largest single-day accumulation inflow ever, with 449,000 ETH—worth around $786 million—flowing into the market. As an example, from April 20 to April 22 the total number of active addresses on the Ethereum network increased by 10%. It jumped from 306,211 to 336,366.
Ethereum is sitting on an outstanding average of 84% discovery. Its momentum reading is 8.96% showing further underlying strength as seen in expanding on-chain analytic measures. Despite these positive signals, technical analysts advise traders to await confirmation before initiating long positions, particularly around the key levels of $1,800 and $1,734.
Market Sentiment and Potential Scenarios
At the moment, a bearish divergence on the MACD, combined with a 1.82% daily loss on above-average volumes shows selling pressure. Other analysts highlight the unpredictability with which way the market is headed.
Is Ethereum Headed to $2,142 or Back Below $1,400? What Charts Reveal Today 2 - CoinMarketcap
Per technical analysts, short-term traders are advised to proceed with caution and wait for strong indications before making big bets.
