During Friday’s U.S. trading hours, the crypto market witnessed a surge in selling pressure, evidenced by a long-wick rejection candle in Bitcoin. The overhead supply has plunged most major altcoins, including ETH, which teases a breakdown below $2,500. While the market sentiment shows no signs of bottoming, the historical trend of Ethereum price signals recovery potential in February
Key Highlights:
- The Ethereum price correction could extend another 14% before the resistance key support trendline near $2,200.
- A bearish crossover between the 50-and-100-day exponential moving average should accelerate the market selling pressure.
- An ascending trendline in the daily chart marks the uptrend trajectory in ETH.
Ethereum Price History Signals Optimism for Holders
Ethereum’s historical performance in February has often been strong, with notable gains in years like 2024 (+46.7%), 2023 (+1.14%), 2022 (+8.41%), and 2017 (+47.3%). This suggests that February has traditionally been a recovery month for ETH, currently showing an average return of 28.8%, according to Cryptorank data.
However, the Ethereum price has recorded a 20.84% decline so far in February 2025, indicating the past performance does not guarantee an uptrend. Thus, the ETH holders must also consider broader market sentiment before committing a view solely based on historical data.
That being said, the Ether price shows higher odds of being successful in February. If history repeats, the coin price could rechallenge the $4,000 resistance.
ETH Correction Nearing a Major Support Test
In the last two months, the Ethereum price has showcased an aggressive downfall from $4,108 to the $2,572 level, registering a loss of 38%. The falling price has recently breached a key support of $2,800, paving the way for sellers to prolong this current correction.
If the bearish momentum persists, the altcoin could plunge another 14% to test the long-coming support trendline at $2,200. This dynamic support has acted as a suitable support for dip buyers since June 2022, maintaining a sustained uptrend in ETH.
If history repeats, the coin price stalls its downtrend at the aforementioned trendline and prepares for the next recovery leap.
Also Read: PNC Bank Expands Bitcoin ETF Holdings to $67M as Market Sees Outflows
Credit: Source link
