Ethereum Price Pulls Back to Key Support Zone

The Ethereum price saw a sharp pullback on August 11, and analysts are now debating whether it has stabilized or if there will be a second drop. Looking at the Bollinger Bands and range structure, the current movement is in line with a large range rhythm outlined earlier.

The short positions set up at the high-pressure area of $1910-$1940 have played out as expected, with the price pulling back and currently operating within the mid-section range of $1860-$1880. The upper Bollinger Band is providing strong resistance, with multiple upward attempts being rejected, and bullish momentum weakening.

The middle Bollinger Band is acting as a short-term dividing line between bulls and bears, and the price is currently fluctuating below this middle band, indicating a continuation pattern after a high pullback rather than a unilateral trend. Key downside support is at $1830-$1840, which is the bottom of the Bollinger Band combined with the range bottom.

Two possible short-term scenarios have been outlined: the first being a downside test, where the current mid-range consolidation accumulates enough energy for a second leg downward, with priority support at the $1830-$1840 range bottom. The second scenario is a rebound correction, where there may be rebound attempts, focusing on the $1900 level as resistance.