The Ethereum price has been in a downtrend in recent months, but has found support at a critical level. 📉

On the daily chart, the asset has been rejected from the $2,700 resistance level and is slowly declining towards the $2,200 support area. The momentum is still bearish as the RSI remains below 50. Therefore, a break below the $2,200 level is likely.

On the 4-hour chart, the market is slowly rising after bouncing off the $2,200 support level. However, a long-term bullish reversal would require a break above the $2,700 level. Therefore, it is not yet clear whether the recent consolidation is accumulation or distribution.

The Ethereum exchange reserve metric measures the amount of ETH held in exchange wallets. This metric has been in a steady decline in recent months, but is currently rising above its 30-day moving average. This suggests that there could be potential selling pressure building up, and if there is not enough demand, the price could fall further in the short term.