Ethereum price remains under pressure, trading below $2,300 after a fresh decline pushed it beneath the $2,250 mark. The cryptocurrency is now consolidating above $2,220, with a contracting triangle pattern forming on the hourly chart that suggests a potential breakout.
This correction follows a failed attempt to hold above $2,300, mirroring similar weakness in Bitcoin. The price is currently trading below both $2,280 and the 100-hourly Simple Moving Average, technical indicators that often signal continued downward momentum.
A low was established at $2,220, and price action since has been modest. The minor upward move only reached the 23.6% Fibonacci retracement level of the decline from the $2,345 swing high to that low, underscoring the lack of buying pressure.
If bulls can defend the $2,220 support zone, a fresh increase could target immediate resistance near the triangle's upper boundary. However, failure to hold $2,220 would likely open the door to further losses, with $2,200 becoming the next key level.
Not all analysts are bearish; some view the contracting triangle as a consolidation pattern that often precedes a significant move. A decisive break above $2,280 would shift sentiment, though the path of least resistance currently appears lower.