Quick Overview:
Ethereum has repeatedly tested the $1,850 zone over the past week but has failed to gain traction. Key technical levels are stacking up to form a robust resistance barrier, and without fresh volume, any breakout attempt will likely fizzle.
Key Highlights:
Confluent Resistance at $1,850: VWAP-based resistance, the 0.618 Fibonacci retracement of the recent swing, a daily supply zone, and the Point of Control all converge here.
Volume Drying Up: Each rally attempt has suffered from below-average volume, indicating a lack of buyer conviction.
Channel Context: ETH remains capped by the upper boundary of its multi-month rising channel, reinforcing the bearish case until broken.
Full Analysis:
Ethereum’s recent price action shows a classic “climbing a wall” pattern: each push toward $1,850 stalls and retreats. This level is not arbitrary—it sits at the intersection of several major technical indicators. The VWAP (Volume-Weighted Average Price) has flipped to resistance after acting as support earlier in the rally, signaling that the average trader is now underwater at these prices. The 0.618 Fib retracement from the last major low to high adds a psychological layer, as many algorithmic strategies key off this golden ratio. Finally, the Point of Control from the current volume profile highlights $1,850 as the price where most trading volume occurred, making it a natural supply zone.
Rallies into this region have been met with tepid volume, suggesting that bulls are unwilling to commit at higher prices without a clear catalyst. On lower timeframes, candlesticks near $1,850 display long upper wicks and declining body sizes—classic signs of exhaustion. Meanwhile, the broader up-channel that’s governed ETH since late 2024 remains intact, capping upside and defining the trading range.
Bias & Trade Considerations:
Bearish Lean: Until ETH can close and hold above $1,850 on strong volume, the path of least resistance remains down.
Short Entry Zone: Consider entering short positions into $1,850–$1,860, with a stop overhead of the channel line. Initial targets near the range mid ($1,700) and the 200-day MA around $1,650.
Invalidation Criteria: A decisive daily close above $1,850 with above-average volume would invalidate the bearish thesis and open targets toward $1,950–$2,000.
What to Watch Next:
Volume Spikes: A volume surge above the 20-day average during an upside move would signal renewed buying power.
Channel Break: A clear break of the channel’s upper trendline on the daily chart is required to shift the bias bullish.
Support Levels: If $1,850 holds as resistance, monitor $1,800 and $1,750 for potential bounce areas.
Ethereum has repeatedly tested the $1,850 zone over the past week but has failed to gain traction. Key technical levels are stacking up to form a robust resistance barrier, and without fresh volume, any breakout attempt will likely fizzle.
Key Highlights:
Confluent Resistance at $1,850: VWAP-based resistance, the 0.618 Fibonacci retracement of the recent swing, a daily supply zone, and the Point of Control all converge here.
Volume Drying Up: Each rally attempt has suffered from below-average volume, indicating a lack of buyer conviction.
Channel Context: ETH remains capped by the upper boundary of its multi-month rising channel, reinforcing the bearish case until broken.
Full Analysis:
Ethereum’s recent price action shows a classic “climbing a wall” pattern: each push toward $1,850 stalls and retreats. This level is not arbitrary—it sits at the intersection of several major technical indicators. The VWAP (Volume-Weighted Average Price) has flipped to resistance after acting as support earlier in the rally, signaling that the average trader is now underwater at these prices. The 0.618 Fib retracement from the last major low to high adds a psychological layer, as many algorithmic strategies key off this golden ratio. Finally, the Point of Control from the current volume profile highlights $1,850 as the price where most trading volume occurred, making it a natural supply zone.
Rallies into this region have been met with tepid volume, suggesting that bulls are unwilling to commit at higher prices without a clear catalyst. On lower timeframes, candlesticks near $1,850 display long upper wicks and declining body sizes—classic signs of exhaustion. Meanwhile, the broader up-channel that’s governed ETH since late 2024 remains intact, capping upside and defining the trading range.
Bias & Trade Considerations:
Bearish Lean: Until ETH can close and hold above $1,850 on strong volume, the path of least resistance remains down.
Short Entry Zone: Consider entering short positions into $1,850–$1,860, with a stop overhead of the channel line. Initial targets near the range mid ($1,700) and the 200-day MA around $1,650.
Invalidation Criteria: A decisive daily close above $1,850 with above-average volume would invalidate the bearish thesis and open targets toward $1,950–$2,000.
What to Watch Next:
Volume Spikes: A volume surge above the 20-day average during an upside move would signal renewed buying power.
Channel Break: A clear break of the channel’s upper trendline on the daily chart is required to shift the bias bullish.
Support Levels: If $1,850 holds as resistance, monitor $1,800 and $1,750 for potential bounce areas.
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Join the Free Trading Group
Telegram: t.me/freetradingden 🔥
Unlock Blofin Bonuses
Trade with perks & support the community!
partner.blofin.com/d/alchemisttrader 🎁
Stay sharp, trade smart.
— Team The Alchemist ⚔️
Telegram: t.me/freetradingden 🔥
Unlock Blofin Bonuses
Trade with perks & support the community!
partner.blofin.com/d/alchemisttrader 🎁
Stay sharp, trade smart.
— Team The Alchemist ⚔️
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.