Ether (ETH) dropped to a multi-week low near $2,100 amid a market-wide pullback triggered by geopolitical tensions. While analysts warn of a deeper correction, citing bearish technical signals, the cryptocurrency’s Relative Strength Index has entered oversold territory, potentially indicating a price floor.
Ether has tumbled to its lowest level since early April, dropping below $2,100 before recovering slightly to around $2,150. This represents an 8% decline over the past week, mirroring broader market weakness.
Analyst Ali Martinez argued that ETH appears to be breaking out of a technical pattern. He previously described the $2,200-$2,400 range as a “no-trade zone” for determining the asset’s next major move.
Martinez also highlighted concerning factors like an increase in ETH held on exchanges, which can raise selling pressure. He noted that a TD Sequential indicator recently flashed a sell signal for the cryptocurrency.
Other commentators shared bearish perspectives. Crypto Rover told his large following that ETH’s current setup resembles that of 2022. Analyst Sjuul | AltCryptoGems opined the asset has lost momentum and is testing a critical support level.
“Now it has receded to the lower band of the channel and is threatening to break below it. Either buyers will step in soon, or things are going to get nasty here,” he added. Despite the negative outlook, a key technical indicator suggests a potential reversal.
Ether’s Relative Strength Index (RSI) recently fell to around 23, its lowest point since February. An RSI reading below 30 typically signals an asset is oversold and may be due for a rebound.
