- Ethereum price is poised to challenge resistance at $2,142 on a consolidated basis as foreign exchange reserves decline significantly.
- According to on-chain data, Ethereum supply on centralized exchanges has fallen to 12.02%, the lowest level in years.
- Daily RSI indicator spikes significantly to 50% without sustained recovery $ETH Prices indicate buyers’ attempts to drive higher upside have failed.
Smart contract giant Ethereum saw a bullish rally of around 2% on Tuesday, with its current trading price reaching $2,033. Despite the intraday rally, the daily candle shows overhead supply pressure with a long wick rejection candle as geopolitical tensions between the US and Iran rise again. However, Ethereum price consolidated within a narrow range of $2,142 and $1,844, awaiting the next breakout.
$ETHExchange supply hits multi-year low as staking demand rises
Buying pressure increased in the crypto market on Tuesday, March 10th, with the market capitalization increasing by 1.5% during the day to $2.38 trillion. Similarly, Bitcoin price rose 2.15% and Ethereum coin rose 2% to trade at $2,142.
However, digital assets were again hit by selling pressure in the late hours. $ETHdaily candle. The economic downturn followed reports that US intelligence had detected naval mines in the Strait of Hormuz.
Although geopolitical instability has stagnated for the time being, $ETHWith the recovery at the key resistance level, on-chain data shows that the share of Ethereum’s total supply on centralized exchanges has fallen to 12.02%, its lowest level in years.
This indicator often coincides with bullish price action. $ETH Availability on exchanges suggests that there are fewer tokens available for immediate sale. Constant outflows suggest investors are moving money around. $ETH From self-management solutions to reward staking to long-term approaches to HODLing.
Additionally, the Ethereum staking ecosystem hit a new record of over 37.46 million users. $ETH This represents approximately 31.03% of the circulating supply, currently committed to the staking protocol. Historically, such contractions in readily available exchange supply have often paved the way for strong gains.
Ethereum Price Reels To Cause Massive Breakout
At the time of writing, Ethereum price is trading at $2,039, marking an intraday increase of 2%. With this rise, $ETH The coin is close to the overhead resistance level at $2,142. $ETHRecovery within a narrow range.
In the past, Ethereum price has resonated strictly within two horizontal levels at $2,142 and $1,800, and the daily chart predicts continued price action. A momentum indicator RSI of 50% suggests that market sentiment is neutral and confirms a bearish trend.
Coin sellers could be forced into a breakdown below $1,800 as the prevailing bearish momentum recovers during the consolidation. The fall after the financial collapse may be a trigger. $ETH Down to the $1,530 floor.
On the contrary, a possible breakout of the pattern’s resistance trendline will accelerate buying pressure. Possibly boosted by expected breakout $ETH It rises to $2,400 before challenging the next significant resistance on the downtrend line.
$ETH/USDT -1 day chart
This dynamic resistance will drive a medium-term correction trend in Ethereum price, and buyers will need to break through it to strengthen their control over the asset.
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