Technical Analysis May 25: Ether (ETH) Downtrend, A Sell Opportunity?

Ether (ETH) has been down 5% since its weekly peak. This suggests a continuation of the decline, given that the main support levels are lower.

Ether (ETH) towards a monthly close in the red

From its yearly high at $2,138, ETH has seen quite a significant correction, losing 17% of its value so far. This bearish momentum may continue as bitcoin (BTC) also approaches $25,000. Despite bullish attempts earlier this week to push Ether (ETH) above $1,872, they proved unsuccessful. Yesterday, this crypto closed the day in negative territory, dropping below the $1,800 mark.

The main support levels are much lower. We can envision the price breaking through the lows at $1,737 and $1,686. The closest support is found at $1,615. Thus, a rebound is only possible from this support, which implies a possible decline of 9% for ether (ETH). This area is an interesting buying level, as it corresponds to half of the March range. If the price does not react at this level, ETH could look for new lows. In this case, the next major support is located at $1,529. If ether (ETH) shows no signs of rebounding, one could look at breaking the March low at $1,370.

Is it time to sell?

With this bearish outlook for Ether (ETH), it might be opportune to take a short sell position. Indeed, as long as the price remains below $1,872 and the psychological zone of $2,000, the medium-term trend remains bearish. If such a scenario plays out, ETH could fall to the next psychological zone around $3,000.

However, for now, Ether (ETH) is showing a bearish trend. In this case, its value could decrease with even lower goals. It is only around one of these targets (supports) that a buying opportunity will present itself on ETH.

Entry point: $1,820;

Stop: $1,872;

Goal 1: $1,686;

Goal 2: $1,529.