Ethereum remains under pressure on higher timeframes, even as the asset has shown signs of stabilization in recent weeks. Its daily market structure is still trading below important moving averages, while the 4-hour chart shows buyers trying to establish a higher low above a key support area. On-chain data also continues to offer a constructive backdrop, with exchange balances continuing to decline.

For traders, the split between a weak daily structure and a more constructive 4-hour setup makes the nearby resistance and support levels especially important. Moving averages and prior supply zones are commonly watched because they can show whether short-term rebounds are strong enough to challenge the broader trend.

Ethereum Price Analysis: Daily Chart

On the daily chart, ETH is trading around $1.86K after recovering from a June sell-off that briefly drove the price into a major demand zone near $1.5K. While that area succeeded in stopping the decline, the broader trend has not yet shifted decisively in favor of buyers.

Following the recent breakout, ETH is positioned just above the upper trendline of its long-term descending channel. However, the 100-day and 200-day moving averages remain above the current price, showing that sellers still dominate the higher-timeframe structure. The latest test of the 100-day moving average near $2K was rejected, leaving ETH below several technical resistance levels.

The first major resistance area is around the $2K supply zone, where the key moving averages also converge. A stronger resistance region is located near $2.4K, the level that capped the previous recovery attempt in April. ETH would need to reclaim these areas to indicate that the broader downtrend is beginning to lose momentum.

ETH/USDT 4-Hour Chart

The lower timeframe offers a more constructive setup. Since the rebound in early July, ETH has formed higher highs and higher lows while continuing to respect a rising trendline, shown in white, that has supported the move higher.

However, after being rejected from the upper boundary of the ascending channel, shown in yellow, the asset pulled back toward the white trendline, where buyers have so far defended the area. Together, these trendlines form a short-term rising wedge. As long as ETH remains above the lower boundary and the $1.75K support zone, the short-term bullish structure remains intact.

For buyers, the next target is another test of the recent highs around $1.9K to $1.95K. A decisive breakout above that range and the channel could clear the way toward the daily supply zone at $2K.

Conversely, a move below the white ascending trendline would weaken the short-term structure and raise the probability of a deeper pullback toward $1.75K. Below that level, $1.7K and $1.6K stand out as the next notable support zones.

On-Chain Analysis

Ethereum’s Exchange Supply Ratio continues to move lower, reaching fresh lows despite the asset’s extended corrective phase. The metric tracks the proportion of ETH held on centralized exchanges, and a falling reading generally indicates that coins are being moved off exchanges and into private wallets or long-term storage.

The continued decline suggests that the amount of sell-side liquidity available on exchanges is still shrinking. Historically, sustained exchange outflows have often been associated with stronger investor conviction and lower immediate selling pressure.

This metric alone does not guarantee an upside reversal, and exchange supply data is best read alongside price action rather than in isolation. Still, the on-chain backdrop appears significantly healthier than the current price structure. If demand strengthens while exchange balances remain low, the reduced available supply could provide additional support for a broader recovery once ETH moves beyond its key technical resistance levels.