Ethereum’s price has declined to levels last seen during the 2022-2023 bear market, according to analysts who identify the area as a long-term demand zone. Multiple market observers note the asset is in a multi-year accumulation phase, with one pointing to a technical indicator that previously preceded a major rally. Despite these observations, ETH failed to hold above $1,900 and traded near $1,830.
Analyst Merlijn The Trader stated that Ethereum is sitting at a five-year demand zone. “Historically, this range has been accumulation, not distribution,” he added.
Ether prices have returned to levels between July 2022 and November 2023. This period represented a deep bear market and accumulation zone for the cryptocurrency.
Investor ‘StockTrader Max’ said Ethereum is no longer a “get rich quick” asset. They advised it should be held with a time horizon of years, not months.
Analyst ‘Sykodelic’ identified a “nice hidden bullish divergence” on ETH’s weekly chart. “The last time this happened, ETH rallied 100%,” they noted.
Fundstrat’s Tom Lee remarked that crypto has many tailwinds but terrible price action. His Ethereum DAT BitMine entity continues to buy and stake ETH, adding over 51,000 ETH in the past week.
Ether could not maintain its position above $1,900. The asset fell back to approximately $1,830 during Tuesday’s Asian trading session.
The current price is not far from its low from early February. This suggests the asset may not be ready for an upward move despite positive fundamental observations.
