4-Hour Analysis:
Big Picture: Bulls failed to turn the short-term bullish structure around, as sellers gained instant control around the support levels, dragging Ethereum deeper into its main breakout-based support zone. Presently, Ethereum could develop a falling wedge formation, indicating that the downside is more likely to be correction then selling. Meanwhile, Ethereum’s positive reactions towards the supports boosting hopes for a better outlook. However, due to the current conditions, risk management is now advised.
![](https://bkcryptocrusher.com/wp-content/uploads/2024/01/ETH-4H-19th-Jan-1024x506.png)
On the Upside 2500 will be the session’s initial barrier for Ethereum. This level contains the previously driven EMA-50, which was ultimately broken after eight days. The upside is only possible if price reclaims the EMA-50 level. Failure to do so would keep the price under pressure. Strength over the EMA-50 would allow the upside to return towards 1520 and 1550 levels initially. With the Pivotal S/R level remains at 1590.
On the Downside the primary supports for the session are 2455 and 2445, followed by important supports around 2425 to 2405 levels, which are breakout-based. This prior breakout zone remained a big challenge for several weeks, and similar style support is now expected from this region. The downside is likely to be protected as long as this support zone persists.