Ethereum, the second largest digital asset in market cap still remains under pressure, exchanging at a price value of $1,800 level after weeks of dip. However, a Pectra upgrade scheduled on May 7, 2025, has boosted market confidence, with short targets pointing to $2100.
ETH faces resistance amid weak market conditions
Ethereum uses descending wedge patterns to show that market forces will likely stay bearish. Currently, ETH is testing support for nearly $1,780, with resistance levels around $1,880 and $1,973.According to analysts, the failure of buyers to support the current level may lead the cryptocurrency to decline to $1,750 or even $1,600.
Tracking the technical analysis hints, the RSI index still remains below 30 range suggesting near oversold hints but not enough buying action or reversal. Meanwhile, the MACD has shown multiple short-term golden and death crosses, indicating price volatility.
The market performance of Ethereum happens in direct relation to Bitcoin’s current price trends. Bitcoin has been unable to sustain a bullish trajectory, affecting the overall crypto market. If BTC remains in its bearish territory, ETH could struggle to break above resistance levels in the short term.
Low liquidity and selling pressure weigh on Ethereum
Trading volume on Ethereum has recently recorded a decline, which makes the entire market more prone to downward cost movements. On-chain data has detected various ETH transactions that correspond to Vitalik Buterin’s co-founder role in the network.
Although Buterin has previously stated that his ETH sales are for charitable and development purposes, large transactions by key figures can influence market sentiment. The awaited Ethereum Pectra upgrade aims to boost staking and scalability. As this goes on, market participants are eyeing for a technical breakout above $2,100 before considering new long positions. If ETH remains below key resistance, the downward trend may continue.
