Ethereum trades at $1,579 as analysts warn of a potential 10% crash below $1,370 support

Ethereum is flashing a major warning sign to investors, with price action threatening a potential 10% correction that could see the second-largest cryptocurrency collapse below crucial support at $1,370. Currently trading around $1,579 after a modest 24-hour recovery, ETH remains trapped in a bearish structure with key resistance at $1,750 standing as the primary barrier to any meaningful upside momentum. Technical indicators continue to flash red, as the price stubbornly stays below multiple critical thresholds, signaling that the market's near-term outlook remains dangerously skewed to the downside. On-chain data further underscores the bearish thesis, with large Ethereum holders showing no signs of aggressive accumulation, while trading volume patterns suggest the current bounce lacks the conviction needed to sustain a recovery. Analysts are now warning that failure to break above the $1,750 resistance zone in the coming sessions will confirm the continuation of the downtrend, with $1,370 serving as the last line of defense before a potential freefall into lower demand zones.

Key resistance and short-term outlook

Analyst Ted Pillows notes that Ethereum has revisited its recent lows and momentum continues to be subdued. According to Pillows, the $1,750 level stands out as a primary resistance area. If Ethereum can break above and hold this zone, a relief rally toward the $1,980 to $2,000 range could develop. The next significant supply region is observed near $2,079, representing a further challenge for bullish traders.

Ted Pillows believes that reclaiming $1,750 as support could pave the way for Ethereum to recover toward the $1,980 to $2,000 band.

Conversely, if Ethereum fails to surpass $1,750, any upward movements may remain short-lived. In this scenario, the price could slide back to test $1,560, and if weakness continues, a further pullback to $1,500 or even $1,370 may occur.

Volume zone as a decision point

Ali Charts, a well-known crypto analyst, highlights that Ethereum has been trading within a significant volume block between $1,584 and $1,683. Within this range, roughly 4 million ETH have changed hands, making it a major decision zone for the market’s next direction. Ali Charts, who is renowned for his on-chain and market-based analyses, emphasizes the importance of this price band.

If Ethereum manages to hold this volume zone as support, renewed upside potential could target the $1,980 and $2,079 marks. However, a dip below $1,584 and failure to reclaim that level would suggest a weakening structure, raising the possibility of renewed pressure toward the $1,500 and $1,370 support regions.

Data from large investors indicates continued pressure

An assessment shared by analyst Darkfost reveals that the unrealized profit ratios of large Ethereum wallets have turned negative. This shift suggests that major investors are now in loss territory, creating market stress similar to capitulation scenarios seen in previous cycles, such as in 2019.

The transition of large holders into losses does not necessarily mean a bottom is imminent for Ethereum, but it does highlight a significant area of stress for the market.

Within this framework, the $1,584 to $1,500 range remains important in the short term. Should selling pressure intensify, the wider range between $1,370 and $1,070 could emerge as the next major buy zone. While some analysts like Cyclop see strong demand building in this band, others believe close attention is warranted around the $1,300 to $1,200 levels over the longer term.

Overall outlook remains cautious

For now, the most decisive bullish signal for Ethereum would be holding the $1,584 to $1,683 support zone, followed by a successful retest of $1,750. Until these milestones are reached, any rebound is likely to be fragile. To the downside, the $1,500 and $1,370 levels are crucial, while the $1,980 to $2,000 region remains the main focus for any sustained upward move.