Ethereum Clears $1.9K, but Major Resistance Ahead

Ethereum is trying to find its footing after recovering from recent lows, trading around $1,920 following a strong bounce from the $1,600 demand zone. The daily chart still shows some bearish pressure because the price sits below the major 100 day and 200 day moving averages. Buyers managed to push past the descending trendline near $1,900, but a bigger test waits at the $2,100 to $2,200 resistance cluster.

Looking at the shorter four hour timeframe, the momentum looks a bit brighter. Ethereum is consolidating nicely above the $1,850 support level while pressing against short term resistance. If buyers can break through the immediate trendline, a push toward the psychological $2,000 level and higher targets near $2,400 becomes much more likely. On the flip side, losing the $1,850 mark could send the price back down to test the $1,600 support zone.

On chain data brings some positive news to balance out the technical hurdles. The Exchange Supply Ratio has dropped to around 0.127, which marks a new cycle low. This means fewer coins are sitting on centralized exchanges, signaling that investors prefer self custody and long term storage over quick selling. While this supply crunch is encouraging, traders should wait for a clean break above key resistance before calling a full bullish reversal.