Market Direction

ETH faces bearish pressure at $1,950

Published: Mar 28, 2025

Ethereum ($ETH) is testing key support levels, with bearish pressure continuing. Despite positive funding rates, price action remains weak, and a retest of lower levels is expected in the coming days.

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

ETH's Open Interest continues to soar higher as traders/institutions take advantage of the 'cash-and-carry' trade - Buy Spot ETH, Short the Perps contract and profit from being paid the Funding Rate.
ETH's Funding Rate has remained mostly positive, indicating traders have been more willing to be Long than Short.

ETH's open interest (by number of coins):

A graph of a stock market Description automatically generated with medium confidence

Technical analysis

ETH rejected to $2,100, which was where the bottom wicks lined up previously.
We expected the major horizontal resistance of $2,160 not to be surpassed, and we presumed it would be tested, considering ETH was getting a relief rally after a really strong downtrend. However, it wasn't even retested.
ETH is now seemingly breaking below the local support of $1,950.
The major horizontal support for ETH is at $1,745. We expect this to be retested sometime over the next fortnight. We're not sure exactly when, but we do think it's inevitable.
ETH's RSI broke out of its downtrend line, but it has swiftly rejected and fallen back into the trend, with it now also breaking below its moving average. Not great to see.

A screenshot of a graph Description automatically generated

Next Support: $1,745
Next Resistance: $2,160
Direction: Bearish
Upside Target: $2,160
Downside Target: $1,745

Stay updated on Ethereum price prediction—explore our full analysis for the latest market insights.

Cryptonary's take

ETH still looks very weak, and each time it gets to a key level to stage a test, it seems to fail, eg, it couldn't even retest $2,160 in this relief rally. We are expecting a retest of $1,745 in the coming week or two.

If/when ETH gets there, we'll reassess, as it's possible another bullish divergence might form close to oversold territory, whilst ETH is moving into a major horizontal support. That might provide an opportunity for a Long. But let's see if our thesis plays out, and we'll reassess closer to the time.