Ethereum Price Tests $2,400 Support After $2,700 Rejection
Ethereum price has retreated from resistance near $2,700 and is trading around $2,500, putting the $2,400 support zone under pressure. A modest bounce from that level has not yet confirmed a bullish reversal.
On the daily chart, ETH remains above its 100-day and 200-day moving averages, but the RSI near 40 signals weakening momentum. A sustained move above $2,700 could reopen a path towards $3,000. A decisive daily close below $2,400 would put the recovery structure at risk and could expose support between $2,000 and $2,200.
On the four-hour chart, ETH has rebounded from oversold conditions, though its RSI near 40 remains below the neutral 50 mark. Resistance sits around $2,600–$2,700, while $2,400 is the immediate level traders are watching.
On-chain, the Ethereum exchange supply ratio fell from about 0.142 at the start of 2026 to roughly 0.124 in September, then recently turned higher. A continued rise could mean more ETH is available on exchanges, but the metric alone does not show that holders intend to sell. Traders are likely to monitor the $2,400 support, momentum indicators and exchange supply for clues on whether the correction deepens or ETH resumes its recovery.
Bearish
The near-term signals lean bearish, although the article does not describe a confirmed breakdown. ETH has been rejected near $2,700, fallen towards $2,400 and is trading with RSI readings around 40 on both the daily and four-hour charts. Those readings point to weak momentum. The recent rise in the exchange supply ratio is an additional risk to watch, as a sustained increase could mean more ETH is available for trading. It does not, on its own, prove that investors are preparing to sell.
For short-term traders, $2,400 is the key pivot. A decisive break below it could trigger stop-losses or further selling and bring the $2,000–$2,200 area into view. This would resemble past technical breakdowns in which a loss of widely watched support accelerated declines, though the outcome depends on broader market conditions and liquidity. If support holds, the modest bounce could continue, but ETH would need to reclaim the $2,600–$2,700 resistance zone and show stronger momentum to improve the setup.
Over the longer term, ETH remains above its 100-day and 200-day moving averages, and the earlier decline in exchange supply was consistent with reduced exchange-held availability. These factors temper the bearish case. A sustained move above $2,700 could restore confidence and put $3,000 back in focus; continued weakness below $2,400, particularly alongside a rising exchange supply ratio, would suggest the recovery is faltering. The bearish classification therefore reflects current price momentum and downside risk, not certainty about ETH’s next move.