TLDR
Ethereum currently trading around $1,800 after several days of decline
ETH fell from $2,033 to a low of $1,754, breaking below key $1,880 support
Potential double-bottom pattern forming with support at $1,762
Whales holding 125,603 ETH ($229M) face liquidation risks at $1,787 and $1,701
Technical indicators suggest bearish momentum in the short term
Ethereum has been on a downward trend over the past week, with the price struggling to maintain momentum above key support levels. After failing to break through the $2,100 resistance, ETH has seen a string of bearish price action.
The second-largest cryptocurrency by market cap is currently trading around $1,800. This represents a 12% decline over the past six days.
The price movement shows ETH failed to continue higher above the $2,000 resistance level. This failure triggered a series of declines that pushed the price below several important support zones.
ETH initially dropped below the $1,920 support. It then continued lower, breaking the $1,880 level which had previously served as a stable floor.
The decline brought Ethereum to test the $1,765 zone. A low formed at $1,767 before the price attempted to bounce back above $1,800.
Despite this small recovery, ETH remains below the 23.6% Fibonacci retracement level. This level is calculated from the recent decline from the $2,033 swing high to the $1,767 low.
Technical Analysis
Technical analysis shows ETH is trading below the 100-hourly Simple Moving Average. This is often seen as a bearish signal by traders and market analysts.
A connecting bearish trend line has formed with resistance at $1,820 on the hourly chart. This adds another hurdle for bulls attempting to push the price higher.
On the upside, the price faces several resistance barriers. The first is near the $1,820 level, followed by a stronger resistance at $1,880.
The $1,880 resistance also coincides with the 50% Fibonacci retracement level. Breaking above this could open the path toward the $1,920 level.
If buyers manage to push the price above $1,920, ETH could target the psychological $2,000 level. A break above $2,000 might trigger more gains, potentially reaching $2,050 or even $2,120.
However, if Ethereum fails to clear the $1,880 resistance, another decline could follow. The first support on the downside sits near $1,780.
Below that, the major support is at $1,765, which was recently tested. A break under this level could send the price toward $1,720 or even lower to $1,680.
The technical indicators aren’t painting a bullish picture at the moment. The MACD for ETH/USD is losing momentum in the bearish zone.
The 125,603 $ETH($229M) held by these two whales on #Maker is at risk of liquidation!
The liquidation price is $1,787.75 and $1,701.54.https://t.co/OsRc23ptV8https://t.co/nbAL9cAnkv pic.twitter.com/xUn6iOW19B
— Lookonchain (@lookonchain) March 31, 2025
Similarly, the RSI (Relative Strength Index) for ETH/USD remains below the 50 zone. This suggests bears still have control of the market in the short term.
Some analysts see a potential double-bottom pattern forming. This pattern could signal a reversal if ETH bounces strongly from current levels.
The daily chart shows six consecutive bearish candles. However, price action near the $1,762 support level indicates possible bullish interest forming.
A potential Doji candle formation suggests indecision in the market. This could mark the beginning of a double-bottom reversal pattern.
For this reversal to complete, Ethereum would need to break above the local resistance trendline. The neckline of the double-bottom pattern sits near the $2,100 resistance level.
Adding pressure to the market, crypto whales face liquidation risks. Two large holders on Maker DAO control 125,603 ETH worth approximately $229 million.
These positions face liquidation at price levels of $1,787 and $1,701. If triggered, these liquidations could accelerate ETH’s downward movement.
Despite the current bearish outlook, some analysts remain optimistic. They point to ETH holding the lower boundary of a descending triangle pattern.
A bounce from current levels could challenge resistance at $1,950 and $2,080. More optimistic targets include $2,230 and $2,320 if momentum shifts.
The short-term price action shows rejection from the 24-hour low. This suggests a potential bounce, but the market remains highly uncertain.
