Ethereum (ETH) has experienced a sharp 10% decline, with the price plummeting below multiple support levels and testing a critical threshold at $1,410. This significant drop mirrors broader cryptocurrency market weakness and could signal further downside ahead.
As previously reported, the $1,400 level represents a crucial support zone that bulls need to defend to prevent additional losses.
Key Technical Levels Under Pressure
The latest price action shows several bearish developments:
- Price failed to hold above $1,620 support
- Trading below the 100-hour Simple Moving Average
- Bearish trend line resistance at $1,520
- RSI indicating oversold conditions below 50
Critical Support Levels to Watch
Traders should monitor these key support zones:
- Primary support: $1,410
- Secondary support: $1,385
- Last line of defense: $1,320
Potential Recovery Scenarios
For any meaningful recovery, ETH needs to:
- Break above $1,520 resistance
- Reclaim the $1,560 level
- Push toward $1,620 to invalidate the bearish setup
Expert Analysis
Technical indicators suggest continued bearish momentum:
- MACD showing increasing bearish momentum
- RSI below 50, indicating seller control
- Volume profile supporting the downward move
Frequently Asked Questions
What caused Ethereum’s price drop?
The decline appears driven by broader market weakness, technical resistance failures, and increased selling pressure at higher levels.
Will ETH bounce from $1,410 support?
While historically significant, the $1,410 level needs strong buying volume to act as reliable support.
What’s the worst-case scenario?
If $1,385 breaks, ETH could test deeper support at $1,320 or even $1,240 in extreme cases.
Traders should maintain strict risk management and watch for potential reversal signals near the identified support levels.