 ▲ Ethereum (ETH), decline/AI-generated image |
Ethereum (ETH) is struggling to firmly establish itself above the psychological support level of $2,000 as it faces excessive long position liquidations and strong selling pressure.
According to crypto-focused media outlet The Crypto Basic on February 19 (local time), Ethereum has continued its downward trend amid significant price volatility over the past 24 hours. During intraday trading, Ethereum briefly surged to $2,030.77 in an attempt to break above $2,000, but was immediately met with profit-taking that intensified downward pressure. Market participants are now closely watching the key resistance levels that must be overcome for a meaningful rebound.
Technical analysis indicates that Ethereum remains in a strong bearish phase on the daily chart. The current price is well below the 50-day exponential moving average (EMA) at $2,512 and the 100-day EMA at $2,834. Both moving averages are trending downward, suggesting they will act as strong resistance barriers during any recovery attempts. The primary horizontal resistance zone is formed between $2,100 and $2,200, and a breakout above this range would be necessary to discuss a full-fledged trend reversal.
On the downside, strong support is forming around $1,825. If this level were to break, $1,750—where substantial buying interest previously emerged—is expected to serve as the final line of defense. The True Strength Index (TSI), a momentum indicator, currently stands at around -34 and remains below the zero line, signaling that sellers are in control of the market. However, as the indicator begins to flatten, there is speculation that the downward momentum may be gradually easing.
Liquidation data further highlights the unstable supply-demand structure in the Ethereum market. Of the $60.24 million in total liquidations over the past 24 hours, long positions accounted for $42.68 million, representing the overwhelming majority. This suggests that investors who had anticipated a price increase suffered significant losses amid the sharp volatility. Short position liquidations totaled $17.56 million, reinforcing the substantial downward pressure currently weighing on the market.
Ethereum remains blocked by the strong $2,000 resistance level as it searches for direction. The process of flushing out excessive leverage and narrowing the gap with key moving averages is expected to continue for the time being. Market participants are closely watching whether Ethereum can consolidate energy above current support to establish a foothold for breaking through $2,200, or if it will enter another phase of price correction.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses resulting from its use. The content should be interpreted solely for informational purposes.*