Ethereum price could retest $2,250 if support fails

Ethereum (ETH) hovered around $2,455 on August 31, after a failed attempt to sustain prices above $2,500. The token remains trapped between a resistance zone near $2,550‑$2,560 and a support area around $2,390‑$2,410.

Recent price action

The week opened at $2,481.78 and reached an intraday high of $2,564.27 on August 27. Sellers rejected the move, and the price settled near $2,455, about 1% below the weekly opening level. Despite the pullback, ETH is up roughly 28% over the past 30 days, having recovered from sub‑$1,900 levels earlier in August.

Technical indicators

The daily Relative Strength Index (RSI) fell to 68.34 from over‑70, indicating cooling momentum while still near overbought territory. ETH trades above all five daily moving averages, with the 20‑day SMA at $2,246.73 acting as the nearest dynamic support. The 50‑day and 200‑day SMAs sit near $2,032 and $2,026, respectively, showing a slight bullish bias as the 50‑day line remains above the 200‑day line.

Liquidity and liquidation zones

On the 4‑hour chart, ETH is confined to a horizontal range of $2,390‑$2,550. Liquidation heatmaps show dense clusters of leveraged positions around $2,545‑$2,550 and $2,570‑$2,580 on the upside, and near $2,410‑$2,390 on the downside. A break below $2,400 could trigger short‑liquidations and push the price toward the 20‑day SMA around $2,247.

Key levels to watch

• Upper breakout: Close above $2,550 to target $2,650.
• Immediate resistance: $2,550‑$2,560.
• Support zone: $2,400, with the 20‑day SMA at $2,247 as the next buffer.
• Deeper support: $2,030 (50‑day/200‑day SMA cluster).

Market context

US policy developments, such as the pending CLARITY Act, are being watched for potential impact on ETH performance relative to Bitcoin. Spot Ethereum ETFs in the United States recorded $815.7 million of net inflows from August 24‑28, led by BlackRock’s ETHA with $567 million, indicating continued institutional interest.

ETH enters September with its monthly recovery intact but short‑term momentum weakening. The next directional move hinges on whether buyers can sustain a close above $2,550 or sellers can push the price below $2,400.