- Ethereum’s price has dropped 4.8% this week despite optimism surrounding the upcoming Pectra upgrade, as market uncertainty and low liquidity weigh on its momentum.
- With Bitcoin’s struggles affecting ETH, traders are closely watching key support and resistance levels to gauge the next price movement.
The highly anticipated Ethereum Pectra upgrade, set for May 7, 2025, promises to improve staking, scalability, and network efficiency. However, instead of rallying in anticipation, Ethereum (ETH) is struggling. Over the past week, ETH has dropped by 4.8%, and in the last month, it has lost 17.1%. With ETH currently trading around $1,800, the question remains: why isn’t the Pectra upgrade pushing ETH’s price upward?
Despite the potential improvements from the Ethereum Pectra upgrade, the market seems unmoved. A combination of macroeconomic uncertainty, concerns about liquidity, and a generally bearish market sentiment is weighing heavily on ETH.
Many investors remain hesitant to step in, particularly with potential volatility expected from upcoming economic data related to interest rates and inflation. Furthermore, lower trading volumes are contributing to a fragile market, leaving ETH more vulnerable to further declines.
Bitcoin’s Struggles Spill Over to Ethereum
Ethereum’s price movements are often influenced by Bitcoin, and right now, BTC isn’t looking too strong. Bitcoin has been struggling to break key resistance levels, and this has put additional pressure on the entire crypto market, including ETH. Technical indicators for Ethereum show that it’s currently testing crucial support levels, and if these don’t hold, further downside could be on the horizon. With the Pectra upgrade still weeks away, traders are anxiously watching ETH’s price action for signs of where it might go next.
Key Levels to Watch For Ethereum
Ethereum’s price has been moving within a defined range, with resistance around $1,810 and support near $1,780. Recently, ETH experienced a brief violation of the lower support level but quickly recovered, rising toward $1,830. However, the MACD indicator has shown mixed signals, with both golden and death crosses, highlighting short-term volatility.
The Relative Strength Index (RSI) is approaching overbought territory, signaling that ETH could face a slowdown or pullback if it hits resistance at $1,880. If buyers fail to push through this level, the $1,780 support zone could be retested.
Despite the promising Pectra upgrade, Ethereum’s price remains under pressure due to market uncertainties and Bitcoin’s struggles. Short-term price action shows a potential recovery, but ETH must overcome the $1,880 resistance to sustain upward momentum. If resistance holds, Ethereum could retest the $1,780 support level. With the Pectra upgrade on the horizon, traders should closely monitor these key levels to gauge Ethereum’s next move amid broader market trends.
