Ethereum Loses $2,800 Support, This Is Where It’s Headed

In light of the latest price correction, Ethereum has lost a key support and its future hangs in the balance. According to an analyst, the asset’s next direction of movement depends on a decisive turn that may not be easy to take.

Crypto analyst Ted said the coin had lost the support at the $2,800 to $2,850 level and needs to reclaim it fast to continue an upward move. However if it fails to reclaim this support, a drop to $2,500 may be inevitable. 

Will Ethereum Recover or Dip Lower?

The crypto market saw recovery last week with Bitcoin breaching the $91,000 level followed by Ethereum at over $3,000. The correction in the early hours of Monday, December 1st, however wiped out some of the gains, bringing Ethereum back below $3,000, although it had support above $2,800. 

With that support lost, the asset risks dropping to lower levels but with a reversal, Ted sees it reclaiming the $3,000 level with potential for a higher push. Fortunately, the correction may not take long before a recovery comes into play.

According to another analyst, the coin looks stronger on the high timeframe. He said the sell-off was triggered by Ethereum touching the all-time high, which could have caused profit taking that made the price to be rejected at that point, making it a mild correction that can easily be reversed.

Although he believes buying the coin for the long-term at this point is not a bad idea, he recommends a “wait and see” approach to avoid uncertainties from the market as the coin is yet to make a clean direction decision. 

Whales are Bullish on Ethereum 

While retailers continue to debate over Ethereum’s next direction, whales are already betting that it will go up. Although one whale opened a massive short on the asset a few days ago, it seems their sentiment has changed. One of many has just opened a $56 million long after shorting it yesterday 1 December.

If the whales are right, Ethereum will soon reclaim $3,000 and start pushing upward towards the upside. Already, Coinmarketcap shows that the asset has reclaimed $2,800 and is now trading at $2,825, but whether this will last is a different ball game. 

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