- The Ethereum price is currently challenging a previous resistance level that now functions as support at $1,500 with a potential upward move to $4,000 in play but also a possible downside risk to $1,500.
- A confirmed weekly close above resistance could reignite bullish momentum, attracting fresh buying interest and driving ETH higher.
- If Ethereum fails to reclaim this key level, selling pressure may intensify, leading to a retest of the $1,500 support zone.
Ethereum (ETH) is approaching a crucial technical level that could determine its next major price movement. Market analysts are closely watching the asset’s weekly candle close as it tests a support-turned-resistance zone. A confirmed breakout above this level could set Ethereum on a path toward $4,000, while a breakdown may lead to a deeper decline, possibly toward $1,500.
Technical Analysis: Key Levels to Watch
The current support level shows Ethereum’s resistance zone as it retraced the area after it transformed from resistance to support. Past market events show this area functioned as a major price limit which prevented price decreases. ETH must establish this level as new support after experiencing its recent price decline. An upward movement from the key support area on a weekly closing would confirm new bullish pressure which could direct Ethereum toward $4,000 as its next resistance barrier.
Conversely, failure to hold above this level could lead to increased selling pressure, bringing ETH back toward the next major support at $1,500. This level has historically provided strong buying interest, making it a critical downside target in case of a breakdown.
Market Implications and Possible Scenarios
A successful reversal of the former support area by Ethereum would generate trader-average buying volume and accompany an increase in market confidence. Ethereum may maintain downward pressure on its price if the key level of support remains unclaimed by buyers.
Ethereum’s price in the past few days has declined from over $3,600, finding support at $2,155 before rebounding. Currently,ETH is trading at $2,214.47 with a price increase 3.9%. The Key resistance level is now between $2,206 and $2,250.
If ETH breaks above this range, it could target $2,400.The upcoming price movements of Ethereum during the next few weeks will establish its immediate market direction. A decisive market move through either an upward or downward movement would change momentum for buyers to reach ascending price objectives or create more bearish market pressure.
