Ethereum price failed to hold above the $2,350 level and extended its decline, mirroring Bitcoin's recent downturn. The digital asset fell below the $2,320 and $2,300 thresholds before finding temporary support near $2,265. A bearish trend line is forming at $2,315 on the hourly chart, indicating continued downward pressure.
The current move represents a downside correction following an upward swing from the $2,220 low to the $2,423 high. The bears have pushed the price below the 50% Fibonacci retracement level of that rally, a technically significant threshold. Ethereum is now trading beneath both the $2,320 mark and the 100-hourly Simple Moving Average.
Immediate resistance stands near the $2,300 level, with the first major barrier at the trend line resistance of $2,315. A sustained move above the $2,325 zone could negate the near-term bearish outlook. On the downside, a break below the $2,265 support could accelerate losses toward the $2,220 swing low.
The broader crypto market sentiment remains fragile as Bitcoin's weakness drags altcoins lower. Traders are watching whether Ethereum can hold above the $2,265 level, which has attracted buyer interest. A failure here may trigger further selling pressure across digital asset markets.
Analysts note that the current chart pattern resembles a bear flag formation, though confirmation requires a break of the $2,315 trend line. The $2,220 level remains the critical support to watch for any deeper correction.