Is Ethereum (ETH) on the Brink of Falling Under $2.4K?

• Ethereum trades at $2.4K, with a modest gain over the past 24 hours.
• The market observed a liquidation of $28.86 million worth of ETH.

The altcoin market has shown mixed signals from the start of the week. Ethereum (ETH), the largest altcoin, is grappling to sustain itself in the $2.5K mark. The asset’s price has been caught between the key support and resistance levels.

Notably, ETH witnessed several price dips in the past few days. The daily price chart shows the token’s struggle to drive the price above $2.5K. ETH managed to trade at $2,416 while recording a modest gain of 0.92% at press time, according to CMC data.

Over the day, ETH registered the lowest price at $2,329 and the highest at $2,417. The market observed a liquidation of $28.86 million worth of Ethereum during this timeframe, as per CoinGlass. Meanwhile, the daily trading volume of ETH stayed at $15.12 billion.

Despite that, an analyst observes that $2.3K is the crucial support level for Ethereum, where 2.4 million addresses have purchased 52.6 million ETH at this price. If the price falls below this demand zone, it could trigger a sell-off as investors may sell their holdings to minimize the losses. 

Will ETH Overcome the Bearish Pressure? 

The largest altcoin’s weekly price chart reveals a brief gain of 1.65%, which noted ETH’s high at $2,510. ETH continued to trade within the moderate range. The asset opened the week at the $2.3K mark and continued to trade within $2.4K. 

If the anticipated bullish signals showed up, ETH might push its price towards $2,598. If this momentum continues, the asset could be targeted for the next major breakout. However, if Ethereum fails to hold the bullish momentum and struggles to surpass the $2.5K mark, the price may slip to the consolidation zone, which has the potential to direct the asset’s price to the $2.3K range. 

On inferring TradingView, Ethereum is moving towards the neutral zone, as the daily relative strength index (RSI) is positioned at 49.11. Moreover, the asset’s daily frame displays the short-term 50-day MA below the long-term 200-day MA.

Besides, ETH’s Moving Average Convergence Divergence (MACD) signal line stands below the MACD line, suggesting a negative market sentiment.