Ethereum's Steep Decline: Bears Eye $2000 as Token Nears 'Death Cross'

Ethereum's price has been on a steep decline since losing a crucial support level around $2700, with the token erasing gains made over the past seven months. A further 3% to 4% pullback could trigger a significant sell-off, according to market analysts.

The week started on a bearish note for Ethereum, with the token failing to surpass the resistance at $2772 and subsequently plunging below $2300 over the weekend. Despite some buying pressure from Asian markets, the ETH price action continues to show signs of weakness, with the token struggling to hold above $2300. This suggests that bears remain in control and that the price may break below the pivotal range at $2024.

As Ethereum approaches a 'Death Cross' – a technical indicator that suggests a potential trend reversal – there is a possibility of another 20% pullback in the coming days. In the past, such events have led to significant price drops, with the token consolidating along support zones before rebounding. If the current support zone between $2301 and $2336 is breached, a drop to $1822 could be imminent.

While there are support levels at $2294 and $1930 that could potentially trigger a rebound, breaking below $2000 may lead to further pullback and prolonged consolidation. The Moving Average Convergence Divergence (MACD) indicator, which is currently in the negative range, has also undergone a bearish crossover, suggesting that any rebound may be short-lived.

In conclusion, bearish sentiment surrounds Ethereum's price rally, and there is a possibility that the token's price may drop below $2000 in the next few days. Traders should closely monitor the token's price action and support levels to make informed decisions about their investments.