The post Key Levels to Watch After Holding $2K Support appeared on BitcoinEthereumNews.com.

Ethereum has recently sharply declined, dropping to the critical $2K support level. In the broader outlook, the price will likely consolidate within the $2K- $2.5K range until a breakout signals the next major move. Technical Analysis By Shayan The Daily Chart Ethereum has recently faced a sharp decline, plunging nearly 30% to reach the critical $2K support level. This drop followed a rejection at the 200-day moving average near $2.9K and was aggravated by market uncertainty triggered by President Trump’s tariff war announcement. The fear-driven sell-off has left Ethereum in a volatile state, but the $2K region has provided significant support, aligning with key ICT OTE levels. For now, consolidation between the $2K and $2.5K range is expected as market participants wait for a breakout to dictate the next major move. If buyers fail to defend the $2K level in the coming weeks, further declines toward the $1.5K mark could become likely. The 4-Hour Chart On the lower timeframe, ETH recently attempted a bullish retracement but encountered strong selling pressure at the 0.5-0.618 Fibonacci retracement zone, leading to another sharp downturn. Upon revisiting the $2K support, which aligns with a critical sell-side liquidity zone, a temporary bounce occurred due to significant buying interest. However, this rebound was short-lived, and Ethereum once again faced a wave of sell-offs, pushing it back toward the $2K level. This turbulent price action suggests heightened trading activity and notable liquidations in the perpetual markets, with nearly $980 billion being flushed out within 24 hours. Given these conditions, Ethereum is expected to remain volatile, consolidating within the $2K-$2.5K range in the mid-term, with further liquidations potentially shaping the market’s next major move. Sentiment Analysis By Shayan Ethereum recently experienced a sharp market downturn, triggering the largest liquidation cascade in years. This wave of liquidations wiped out…

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Filed under: News - @ March 5, 2025 2:23 pm