Ethereum Price Still Inside an Ascending Triangle Despite Recent Crash

Crypto analyst Trend Diva has provided an in-depth analysis of the current Ethereum price action. She revealed that ETH is still moving inside an ascending triangle but warned that it could suffer further downside pressure if it fails to stay above a crucial support level.

Ethereum Price Still Inside an Ascending Triangle

In a TradingView post, Trend Diva revealed that the Ethereum price is moving inside a clear ascending triangle. The upper boundary acts as long-term resistance, and the lower boundary provides dynamic support. This analysis comes amid ETH’s recent decline below $2,000.

Related Reading

The analyst noted that after a steady climb, the Ethereum price started showing weakness, confirmed by a head and shoulders pattern, which she claimed is a common sign that the trend might reverse. This weakness led to a strong drop for ETH, bringing its price down to the key support zone around $2,000.

A Drop to As Low As $1,414 Is Also On the Cards

Trend Diva stated that this support area is important for the Ethereum price because it meets with a major trendline, making it a likely spot where buyers could step in. She added that the volume profile also shows a lot of activity in this zone, meaning traders have been interested in these levels before.

Why the Ethereum Price Could Bounce to $2,800

For now, as long as ETH stays above this $2,000 support, a rebound to $2,800 is still on the horizon. The analyst further remarked that if the Ethereum price holds above this $2,000 support, it could bounce towards the $2,800 level, which represents a previous resistance. However, she revealed that a breakdown below the trendline shifts the bias bearish towards $1,414.

A Drop to As Low As $1,250 Is Also On the Cards

In an X post, crypto analyst Ali Martinez said the Ethereum price seems to be breaking out of a parallel channel. He added that ETH could drop to as low as $1,250 if momentum sustains. ETH whales look to be doing everything possible to defend the $2,000 support zone and prevent Ethereum from dropping to these new lows.

Conclusion

In conclusion, the Ethereum price is still inside an ascending triangle, and a bounce to $2,800 is possible if it holds above the $2,000 support level. However, a breakdown below this level could lead to a drop to $1,414 or even $1,250. It is essential for investors to stay informed and monitor the market closely to make informed decisions.

FAQs

Q: What is the current Ethereum price?

A: As of the time of writing, the Ethereum price is trading at around $2,065.

Q: What is the significance of the $2,000 support level?

A: The $2,000 support level is a crucial zone for the Ethereum price, as it meets with a major trendline, making it a likely spot where buyers could step in.

Q: What is the potential for a bounce to $2,800?

A: If the Ethereum price holds above the $2,000 support level, a rebound to $2,800 is still on the horizon.

Q: What is the potential for a drop to $1,414 or $1,250?

A: A breakdown below the $2,000 support level could lead to a drop to $1,414 or even $1,250, as warned by Trend Diva and Ali Martinez.