Ethereum (ETH) pulled back sharply after briefly touching $2,089, falling below the $2,000 mark as bears regained control and technical indicators shifted into bearish territory, leaving the token trading near $1,960 with key support at $1,932 and resistance at $2,050 defining the short-term range.
What Happened: ETH Reversal at $2,089
ETH rallied above $2,020 and $2,050 before bulls pushed the price to a session high of $2,089, according to hourly ETH/USD data. The move quickly reversed.
The price dropped below $2,000 and the 50% Fibonacci retracement level of the upward move from the $1,835 swing low to the $2,089 high.
ETH now trades above $1,960 and the 100-hourly simple moving average, with a rising channel forming support at that level on the hourly chart.
The hourly MACD is gaining momentum in the bearish zone, and the RSI has fallen below 50. If the price holds above $1,920, bulls may attempt another push toward $2,050 and $2,080, with a breakout above $2,120 opening the path to $2,200.
A failure to clear $2,050 could trigger a decline toward the $1,932 support zone, which aligns with the 61.8% Fibonacci retracement level, with further downside targets at $1,895, $1,850 and $1,820.
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Why It Matters: Momentum Fades Fast
The rejection at $2,089 signals that sellers remain active at higher levels, and the shift in momentum indicators suggests the recent rally lacked follow-through. The $1,932 support level, aligned with the 61.8% Fibonacci retracement, is a widely watched threshold that could determine whether the correction deepens or buyers step in to defend the trend.
A sustained break below that zone would erase the bulk of the recent recovery from $1,835 and potentially expose ETH to a retest of the $1,820 area.