Crypto price prediction: Ethereum current consolidation phase could refer more price drop

 Crypto analysis (Ethereum):

Ethereum chart analysis

Ethereum is currently priced at around $1,891, showing a slight increase of 0.60% in the past 24 hours. It remains actively traded on over 10,000 markets, with a total daily trading volume of approximately $10.3 billion. Despite this activity, Ethereum has struggled to gain strong upward momentum and remains in a period of consolidation.

In the futures market, Ethereum experienced $30.21 million in liquidations over the last day. This includes $15.77 million from long positions (bets that ETH would rise) and $14.25 million from short positions (bets that ETH would fall). These liquidations indicate high market volatility, with traders facing losses as Ethereum’s price failed to move decisively in either direction.

Ethereum has now been consolidating for two weeks, unable to break past the $2,000 level, which is a key psychological barrier for investors. A strong resistance level in the form of a descending trendline continues to prevent any significant upward movement. If Ethereum fails to break through this resistance, it could face further downward pressure in the coming days.

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If the current consolidation phase continues, Ethereum might drop below $1,750 and could even test the crucial support level at $1,500. To shift the trend in a positive direction, Ethereum needs to break above the descending trendline resistance and turn it into a support level. Doing so could help change the market sentiment from bearish to bullish.

Technical indicators such as the Relative Strength Index (RSI) and Stochastic Oscillator (Stoch) suggest that bearish momentum remains strong. Both indicators are below their neutral levels, meaning sellers currently have more control over the market. Unless buying pressure increases, Ethereum may continue to struggle in its current price range.

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However, if Ethereum can manage a daily candlestick close above $2,200, it could invalidate the bearish outlook. This breakthrough could push ETH toward $2,800, providing new optimism for investors. Until then, traders will closely watch key resistance and support levels to determine Ethereum’s next major move.