Ethereum extended its decline and traded below the key $2,000 level, struggling to maintain bullish momentum after failing to break above $2,050. The broader weakness mirrors the recent pullback seen in Bitcoin, keeping short-term sentiment cautious.

ETH dropped below the $2,040 and $2,020 support levels, entering a bearish zone. The decline also pushed the price beneath the 50% Fibonacci retracement of the upward move from the $1,895 swing low to the $2,106 high. Adding to the downside pressure, a bullish trend line with support near $2,035 was broken on the hourly ETH/USD chart, based on data from Kraken.

Current Price Action

Ethereum is now trading below $1,980 and remains under the 100-hour Simple Moving Average. Bears managed to push the price toward the $1,950 support area, signaling continued selling pressure. As long as ETH stays below the $2,000 zone, the risk of further losses remains elevated.

Immediate resistance is located near $1,980, followed by a major psychological barrier at $2,000. A sustained move above $2,025 could open the door for a recovery toward $2,045, and potentially $2,120 or even $2,150 if bullish momentum strengthens.

Downside Risks Remain

If Ethereum fails to reclaim the $2,000 resistance, another leg lower could follow. Initial downside support sits near $1,945, with stronger support around $1,930 — close to the 83.2% Fibonacci retracement level of the recent upward move.

A decisive break below $1,930 could drag ETH toward $1,880. Further weakness may expose the $1,820 zone, while the main downside support remains near $1,780.

Technical Indicators Signal Caution

• Hourly MACD: Gaining momentum in the bearish zone
• Hourly RSI: Below the 50 level, indicating weak bullish strength

Key Levels to Watch:

• Major Support: $1,930
• Major Resistance: $2,000

Overall, Ethereum remains vulnerable in the short term, and bulls need a clear break above $2,000 to shift momentum back in their favor.