Can Ethereum Hit $2K After Clearing Key Support?

Ethereum is staging a comeback after bouncing off its June lows. The asset recently managed to reclaim the $1.8K support level, a move that has significantly improved sentiment among traders. The price is currently testing a major descending channel, with the 100 day moving average near $2K acting as the next big wall for bulls to climb.

Technically, the path forward is full of resistance. If buyers can push the price past $2K and sustain a rally beyond $2.2K, we could see a structural shift in the market. However, sellers remain active near these levels. If Ethereum fails to hold $1.8K, it risks a slide back toward the $1.5K demand zone that sparked this recent rally.

On the supply side, the data looks encouraging for long term holders. Exchange reserves for Ethereum have dropped to roughly 15.3 million tokens, the lowest level in years. This suggests that many investors are moving their coins into private wallets rather than looking to sell. Reduced exchange supply often creates a better environment for price growth when demand begins to pick up.

Keep a close eye on the $1.8K support level this week. As long as the price stays above this point, the current pullback is likely just profit taking rather than a change in trend. Watch for a breakout above $2.2K as the signal that the broader recovery is officially gaining momentum.