Ethereum has dropped back into the critical $1,500 range, prompting close observation from traders analyzing weekly technical charts. Despite a reduction in selling pressure when compared to historical trends, experts warn that the circumstances do not yet establish a definitive trend reversal for ETH.
What Does the Weekly Chart Suggest?
Ethereum, identified as ETH in the market, has entered a significant support zone located near $1,500. This level has historical significance, acting as a pillar during the downturns of late 2023 and the corrections seen in April 2025. Traders are keenly observing this zone, expecting it to hold once more as it has in the past.
The current chart highlights lower highs and steep downward shifts, revealing a continued bearish trend. Attempts at recovery fail as they face resistance levels formed by long-term moving averages previously offering support, now acting as barriers around $2,470 to $2,530.
As noted by Daan Crypto Trades, Ethereum’s retreat to $1,500 represents a return to a historically strong support level, effectively reversing gains from previous rallies.
Is a Further Decline Imminent?
Technically, the support near $1,500 is considered robust compared to the low levels around $1,375 encountered earlier in 2025. Any dip below $1,500 could accelerate downward momentum, spotlighting $1,375 as the next critical threshold.
For Ethereum, this presents a pivotal moment. Maintaining its current level might aid in balancing the market, while falling below could solidify the prevalent downtrend visible from previous cycle peaks.
Why Is the Futures Market a Key Indicator?
Recent data from Ethereum’s futures market show a slight reduction in selling pressure. Prices appear stabilized within $1,550 to $1,600, though experts urge caution, pointing out that the broader trend remains vulnerable.
– Analysis of futures suggests that the decline in the net position delta has paused and seen a slight uptick.
– Open Interest, however, remains flat, indicating a lack of fresh capital inflow.
– Both indicators climbing would suggest a stronger restoration of bullish market sentiment.
CW notes the visible ease in downward pressure but stresses caution, highlighting the need for an increase in Open Interest to support any lasting recovery.
Open Interest continues to hover around 34.6 million contracts, showing no significant uplift. For a robust recovery supported by increasing participation, analysts are eyeing co-movement of Open Interest and net position delta, signaling potential market revitalization.
