Ethereum is entering a historical buying zone as the price drops below a key level – Insights :


Currently, Ethereum is trading at a critical resistance level as bulls attempt to regain momentum and push towards a new high. The overall market remains under pressure as global uncertainty escalates, largely driven by the ongoing trade tensions between the United States and China. Last week, U.S. President Donald Trump announced a 90-day tariff pause for all countries except China, heightening concerns about a prolonged trade conflict that could destabilize global financial markets.
In this high-risk environment, the price dynamics of Ethereum attract close attention from investors and analysts. Renowned crypto analyst Ali Martinez shared that historically, the best buying opportunities for Ethereum have emerged when the price fell below the lower MVRV (Market Value to Realized Value) price range – a level that signals potential undervaluation. It is important to note that ETH is currently trading in this zone.
This correspondence between technical conditions and macroeconomic instability indicates that Ethereum may be entering an accumulation phase, with long-term investors looking to capitalize on lower prices. However, sustainable growth will depend on whether the bulls can overcome immediate resistance and whether macroeconomic conditions improve. The coming days could be critical for ETH as it tests both technical and psychological levels.
Ethereum is diving into a historical zone of opportunities
Ethereum is currently trading below key resistance levels after several weeks of selling pressure and weak market dynamics. Having lost the critically important support level at $2,000, ETH has fallen by approximately 21%, which is clear evidence that bullish sentiment has not yet regained control. Broader macroeconomic factors, particularly rising global tensions and uncertain trade conditions between the US and China, have further dampened market sentiment. These conditions have led many investors to exit risky assets such as cryptocurrencies, resulting in increased volatility and decreased market participation.
Despite this decline, some analysts believe that Ethereum may be approaching a crucial reversal zone. According to Martinez, one of the best historical signals for accumulating Ethereum was the price dropping below the lower bound of the MVRV price range—a metric that compares market value to realized value to assess whether an asset is overvalued or undervalued. Currently, Ethereum is trading below this lower bound.
Martinez emphasizes that such a position typically precedes strong upward reversals, especially during periods of extreme market pessimism. While short-term volatility may persist, the entry of ETH into this zone may present a rare opportunity for long-term investors to accumulate at historically low levels — if market conditions stabilize and sentiment shifts.
ETH has stopped in a tight range
Ethereum is currently trading at $1,610 after nearly a week of low volatility and sideways movement. Since last Tuesday, ETH has remained locked in a narrow range between $1,550 and $1,630, reflecting market uncertainty and hesitation regarding a clear directional position. This narrow trading zone highlights a period of price compression, which is often a precursor to a larger move in either direction.
For the bulls to regain momentum and change sentiment, Ethereum must reclaim the $1,700 level and decisively exceed the $2,000 mark. These levels not only serve as key psychological barriers but also represent critically important areas of previous support that have now turned into resistance. A breakout above $2,000 is likely to spark new buying interest and create conditions for a potential recovery rally.
However, if bearish pressure increases and the $1,550 level is broken, Ethereum may quickly test the $1,500 support zone. A break of this level will confirm further downside risk, potentially accelerating sell-offs and deepening the current correction. Until a breakout or breakdown occurs, traders should prepare for further consolidation and volatility as the market awaits a macro or technical catalyst.
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