Ethereum's recent recovery attempt has failed to reclaim the critical $2,140 resistance level, with the cryptocurrency recently rejected near the 0.618 Fibonacci retracement zone. According to latest technical analysis, ETH is currently trading around $2,135 after bouncing from the support zone around $2,000–$2,110. The move off the sub-1,900 flush looked constructive initially, but sellers quickly regained control and rejected the recovery attempt near the key resistance zone. From a technical perspective, Ethereum is currently trading within a key range between $1,914 and $2,214, with the $2,214 level emerging as a crucial resistance that closely aligns with the broader $2,200 supply zone where previous rallies faced rejection. Ethereum is currently below both its 50-day moving average near $2,115 and its 200-day moving average near $2,117, making the $2,115 zone the first hurdle to overcome for any recovery chances. The monthly RSI is down at 36, which counts as oversold, and this reading has more often come before a bounce than a deeper slide. On the upside, initial resistance is at the 23.6% Fibonacci retracement near $2,138, with further hurdles at the 50-day EMA near $2,239 and the 100-day EMA near $2,310. Above these, the 38.2% retracement near $2,380 and the distant 200-day EMA near the $2,542 mark are progressively stronger supply zones within the broader corrective structure.
Ethereum sentiment has weakened sharply in May as traders react to multiple pressure points affecting the cryptocurrency. According to reports from Santiment, Ethereum's market cap fell 11.6% over 15 days, with ETH now at risk of falling below $2,000 for the first time since late March if selling pressure continues. The data platform noted that while Ethereum's social dominance rose during this period, the tone of discussion moved toward fear and frustration instead of optimism, indicating a shift in trader sentiment. However, recent technical analysis shows stronger candles, higher lows, and buyers defending dips instead of price immediately rolling over, suggesting momentum is improving. Latest 15-minute chart structure shows weakening momentum as traders reduce risk exposure during continued market uncertainty. On the downside, immediate support is seen at the horizontal level around $2,067, ahead of the more distant cycle low anchor near $1,748; a clear break under the former would likely expose the latter and extend the current bearish phase.
Total crypto liquidations over the past 24 hours reached approximately $200 million, with derivatives market showing balanced pressure across long and short positions. Bitcoin long liquidations reached $26.1191 million while short liquidations stood at $23.9079 million, indicating broad-based volatility without clear directional bias. Ethereum long liquidations reached $20.4687 million with short liquidations at $13.4498 million, showing concentrated selling pressure on ETH. If Bitcoin falls below $73,887, cumulative long liquidation intensity could reach $1.282 billion, while a break above $81,234 could trigger $1.215 billion in short liquidations. For Ethereum, a drop below $2,033 could bring cumulative long liquidation intensity to $826 million, while a move above $2,238 could generate $752 million in short liquidations. With spot demand remaining weak, futures traders are playing a larger role in driving short-term price action, and the market is closely watching the concentration of short-side liquidity above $80K.
Ethereum Foundation changes have contributed to the weaker sentiment, with recent reports noting that Carl Beek and Julian Ma announced exits from the Ethereum Foundation, adding to broader Protocol Cluster changes. According to Santiment, traders often react quickly to these narratives, with reports about Foundation exits and public claims about ETH supporters reducing exposure helping build the current bearish mood. The report noted that Ethereum remains strong in development activity, with the platform still leading in raw developer work despite retail traders focusing more on faster price moves from rival ecosystems. Ethereum is no longer trading purely on hype, with the outlook now leaning on its utility rather than speculation. Long-term holder supply is increasing, which signals accumulation, and larger players are building positions without reason, suggesting institutional confidence in the network's long-term prospects.
Network growth metrics have cooled from stronger periods in 2024 and 2025, with fewer new wallets interacting with Ethereum, which traders may read as a sign of weaker demand for ETH. As reported by Santiment, daily active addresses and network growth have declined from previous stronger periods. The report emphasized that Ethereum was trading near $2,125 to $2,135 on May 22, keeping ETH close to the support zone watched by traders after recent outflows and technical weakness. Ethereum entered 2026 carrying the weight of that selloff, with the price sliding to a low near $1,755 before staging a recovery back toward $2,000. ETH hit its record high in 2025 on ETF inflows and heavy buying, but the price ran ahead of what the network could back up, and it spent the rest of the year giving those gains back. This time, a slower climb driven by people actually using Ethereum would have a better chance of holding than another fast run on buying alone.
