Market Direction

ETH struggles at $1,530 support amid decline

Published: Apr 7, 2025

As Ethereum battles crucial support levels, it joins BTC in a volatile market. Let's take a closer look at how ETH and other major assets like BTC are reacting to the current market conditions.

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 remains really high, however, this is due to the coin's price going down, hence OI by the number of coins goes up, as it becomes cheaper to leverage ETH.
ETH's Funding Rate is fluctuating between slightly positive and slightly negative, suggesting that there's a lack of conviction and indecision amongst investors.

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

ETH open interest

Technical analysis

ETH moved down to the horizontal support of $1,745. But, price quickly broke down from that support ,and ETH is now fighting at the next horizontal level of $1,530.
Below $1,530, the next major horizontal support is at $1,230. If ETH were to get there in the short/medium term, we might have to consider some light buys.
On the RSI, ETH remained in its downtrend before breaking down more significantly. The RSI is now into deep oversold territory.
To the upside, the $1,745 horizontal level will now be the new resistance. We wouldn't get bullish again until ETH reclaimed that level.
ETH remains in both of its downtrend lines for now (dotted down-trending red lines).

Next Support: $1,230
Next Resistance: $1,745
Direction: Neutral/Bearish
Upside Target: $1,745
Downside Target: $1,230

Cryptonary's take

ETH's price action has been really poor. It's essentially been straight down, with rallies being weak, and crucial support levels eventually being lost. Where this price decline stops is hard to say.

Right now, price is very oversold, but with ETH really lacking in positive narratives, it's possible ETH can go lower. At some point, it'll reach a point where it starts to look attractive from a valuation point of view. $1,230 may be that level.

For now, we'll sit tight and see how this plays out, but we are getting closer to these buy levels, and it has happened quicker than we expected due to Trump's aggressiveness.