The Ethereum (ETH) price has formed a "bear pennant" pattern on the daily chart. This technical indicator typically signals that a sharp downward price trend will continue. Recently, the ETH price has fallen 13% from its multi-month high of $2,400, breaking a key support line that had been in effect since February. This is reported by Cointelegraph.com .
According to analysts, if the Ethereum price falls below the $2,060 level, the downward momentum could accelerate. A Chain Mind analyst on the X social network called this a critical moment for ETH. If the asset cannot recover its position, there is a high probability that the price will drop to $1,800, which is another 14% decrease from the current value.
Crypto analyst Alex Marzell also notes that if the $2,050 level is lost, the next stop will be the support zone around $1,800. In the short term, if key levels are not maintained, it is predicted that the price could even fall to $1,750.
Beyond the negative technical outlook, fundamental factors are also putting pressure on the Ethereum network. In particular, changes within the Ethereum Foundation, pessimistic sentiment on social media, and a decline in the Total Value Locked (TVL) in DeFi protocols are being observed.
Currently, the TVL metric on the Ethereum network has dropped to $116 billion, the lowest level in the last 13 months. For comparison, the network's TVL had reached a peak of $258 billion. Such a decline indicates that investor confidence in the ecosystem has weakened somewhat.
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