Ethereum Faces Critical Test at $1.8K Support Level

Ethereum is currently consolidating near $1,800 after a recent pullback from higher levels. The price is trading below important moving averages, including the 100 day average at $1,900. For a clear trend shift, Ethereum needs to break past $2,100. Until then, the market remains in a corrective phase defined by lower highs.

The 4 hour chart shows a more optimistic outlook as long as the price stays above $1,830. A failure to hold this level could pull the asset down toward $1,750 or even $1,620. If buyers step in to defend the $1,800 range, Ethereum may get another chance to challenge the $1,960 resistance and aim for $2,000 again.

On chain data offers a reason for patience. The amount of Ethereum held on exchanges has steadily dropped over the past year, falling from 0.18 to roughly 0.127. This suggests that fewer tokens are readily available for immediate selling. While this trend is positive, it does not guarantee a price increase. Ethereum must still overcome technical hurdles to prove the recent recovery is more than just a temporary spike.