A recent technical outlook points to a shortfall on the ETH daily candlestick chart, as the price continues to stall below the upper end of its rising channel despite repeated attempts to extend the rally.
Ethereum’s Rally Is Showing A ShortfallThe structure has produced a sequence of higher lows, which is usually a good sign. However, the problem is that ETH has not matched that strength on the upper side of the pattern, at least in May.
According to a crypto analyst that goes by the name Ardi on the social media platform X, the channel’s upper boundary currently is around $2,520, but ETH’s recent advances have repeatedly stalled around $2,420. That leaves the price about 6% below the channel high, creating a shortfall.
The Level Ethereum Must Reclaim Based on this analysis, the bearish shortfall view does not become invalid simply because Ethereum is trading above recent lows. According to crypto analyst Ardi, the real test now is whether the ETH price can move through $2,420 and turn that area into support.
On the other hand, a continuation rally from Bitcoin would produce only a weak response from ETH. The relationship between Bitcoin and Ethereum has been inconsistent, with Ethereum underperforming Bitcoin so far this year. At the time of writing, ETH is trading at $2,284, down by 1.9% in the past 24 hours.
