The Ethereum (ETH) price was trading at $2,904 as of 2:30 a.m. EST, down 0.47% over the last 24 hours.

Ether’s price was trading within the confines of a bearish triangle as bulls fought to scale it higher.

With 3% losses over the last seven days and an over 7% drop over the last month, it appears that Ethereum’s downside is not over.

Let’s analyze Ether’s price action and see where it could be headed in the near future.

Ethereum Price Analysis

After turning away from $4,000 on March 14, the largest cryptocurrency by market capitalization fell 31% in an extended downtrend that was halted by buyer congestion around $2,870.

Since then, the price has been consolidating above this line as it recorded a series of lower highs. This has led to the appearance of a descending triangle on the daily chart.

The downsloping 50-day exponential moving average (EMA) indicates an advantage to sellers, and the the extended downtren on the RSI suggests that the bullish momentum that started in October 2023 may have slowing down.

The RSI was positioned in the negative region at 39, suggesting that the bears had an upper hand.

A breakdown of the triangle’s horizontal line at $2,870 will tilt the odds in favour of the downside. Key levels to watch below this support level are the $2,800 psychological level embraced by the 200-day EMA, and the $2,500 buyer congestion zone.

Lower than that, the smart contracts token may drop to reach the technical target of the prevailing chart pattern at $2,200. This would represent a 23% decline from the current level.

On the upside, a break and close above the descending triangle’s resistance line at $2,960 could open the doors for a retest of the supply zone between $3,000 and $3,200 psychlogical levels – where the 50-day EMA and the 100-day EMA currently sit. If this level is cleared, the next logical move would be a climb to $3,800 or the March 14 high above $4,000.