Ethereum Price Could Drop Below $2K as It Tests Key Support

ETHUSDT is resting on a key support level and may drop below $2K if it closes a daily candle under $2,030 in the next 48 hours. Should the ether price end a daily trading session below this significant point, then it may be at risk of falling to the subsequent support level at $1,945 in the following few days. This will also lead to ETH breaking below the psychological $2K mark.

This bearish thesis could be invalidated if ETH closes the next 2 daily candles above $2,030. In this more bullish scenario, the altcoin may attempt a challenge at the $2,150 resistance level within the coming week. Thereafter, continued buy pressure could elevate the ethereum price to as high as $2,300 in the short term.

Investors will want to note that technical indicators suggested ETH’s price may drop in the next 24-48 hours. Firstly, the Moving Average Convergence Divergence (MACD) line was closing in on the MACD Signal line. This suggests that ETH’s bearish trend that it has been in over the last 3 days may continue in the next 2 days.

Adding credence to the bearish thesis is the daily Relative Strength Index (RSI) indicator. Throughout the previous 48 hours, the RSI line crossed below the RSI Simple Moving Average (SMA) line. This is generally taken as a sign of momentum shifting in favor of sellers.