Ethereum (ETH/USD) is trading around $2,077, rebounding after touching the lower band of the downtrend channel that has formed since late October and recovering after reaching the psychological level of $2,000.
If it consolidates above the Murray 5/8 level in the coming hours, the outlook could be positive. We could expect the price to reach $2,119, the Murray 6/8 level around $2,187, and, finally, the upper band of the downtrend channel, which also coincides with the 200-period exponential moving average (EMA) around $2,340.
Ethereum has upside potential, as the Eagle indicator has reached extremely oversold levels. Any technical rebound—provided the price consolidates above the Murray 5/8 level and the psychological $2,000 level—could be considered a buying opportunity in the coming days.
Conversely, if Ethereum maintains bearish momentum, breaks below the November 9 low, and consolidates below the psychological level of $2,000, it could be expected to reach the Murray 4/8 level, around $1,875.
Given that Ethereum has reached oversold levels, any pullback—provided the price remains within the downtrend channel—will be considered an opportunity to open long positions.