Ethereum Drops 4.1% as Key Support Levels Hold

Ethereum ($ETH) has been trading within a narrow range, fluctuating between $2,327 and $2,789, without a clear direction emerging. The support level at $2,327 has been holding firm, and if this level is breached, potential downside targets could be $2,104 and the $1,753 zones. On the upside, resistance levels at $3,965 and $4,093 will not be tested unless Ethereum clears the $2,789 mark.

Currently, Ethereum is trading at $2,444.80, reflecting a 4.1% decline over the past 24 hours. The asset has been confined within this consolidation zone since early May, with price action tightly controlled between the support and resistance levels. The most recent daily close saw Ethereum remaining above $2,389.71, a crucial short-term support level that is pivotal for maintaining bullish sentiment. Buyers are closely monitoring whether Ethereum can sustain above this level.

Over the past few weeks, Ethereum's price has repeatedly tested the boundaries of this range. The $2,327 level has served as a key daily structure level, and so far, Ethereum has successfully defended this level, maintaining higher lows. The resistance lies at around $2,789, a horizontal zone where bulls have faced obstacles. A sustained breakout above this level could potentially retest prior highs, but there is no confirmation of this scenario yet.

If Ethereum records a close below $2,327, market attention may shift to the next support targets, which include $2,104 and the lower support region between $1,848 and $1,753. This area previously marked the bottom of the March correction. While Ethereum is currently within a defined range, analysts have noted potential upside targets at $3,965 and $4,093, which reflect the last meaningful highs before the correction that began in March.

Until Ethereum exits the current range, these higher resistance levels remain inactive. Despite clearing the downward trendline that began last December, price action remains capped under $2,789, preventing broader continuation. For now, the short-term market will likely react to moves around $2,327. A close above or below this zone could drive the next market decision.