Ethereum is approaching a critical support test around 2,050 dollars while RSI dips below 30 issuing oversold signals; however, could Bitcoin’s downtrend hinder the altcoin rally?
Market Outlook and Current Situation
Ethereum (ETH) is trading at the 2.054 dollar level as of February 9, 2026, recording a 2.75% decline over the last 24 hours and fluctuating in the 2.008-2.152 dollar range. A clear downtrend dominates the daily timeframe; although volume remains relatively high at 15.81 billion dollars, selling pressure continues. This movement parallels the general weak performance of the crypto market; in an environment where Bitcoin is struggling to hold at the 69,400 dollar band with a 2.34% drop, ETH remains below short-term EMAs, producing bearish signals.
The market is seeking consolidation after the volatility of recent weeks. ETH trading below the 2.446 dollar EMA20 confirms the weakness of the short-term trend. The Supertrend indicator is also in a bearish position and marks 2.606 dollars as resistance. In this context, investors should closely monitor ETH’s movements in the spot market; as an increase in volume could strengthen a potential reversal signal or deepen the sales.
Overall market sentiment is cautious. There is no major catalyst specific to ETH in the news flow, making its price dependent on macro trends. Despite ETH’s leading position among altcoins, the rise in BTC dominance continues to act as a pressure factor.
Technical Analysis: Levels to Watch
Support Zones
ETH’s most critical support zone is positioned around 1.995 dollars; this level is a strong confluence point with a 75/100 score on the daily timeframe. It is just above recent lows and represents the intersection of supports from 1D and 1W timeframes in multi-timeframe (MTF) analysis. If this level breaks, the next stop will be 1.747 dollars; this 72/100 score zone forms an important base on the weekly chart and is an area that has been tested multiple times in the past.
Looking at MTF confluence, a total of 10 strong levels were identified: 2 supports on 1D, 1 on 3D, and 2 on 1W. These zones overlap with Fibonacci retracements and volume profile; therefore, holding 1.995 dollars will be key for short-term recovery. Investors can evaluate holding here for leverage opportunities in futures trading.
Resistance Barriers
The first resistance is at the 2.150 dollar level, with a medium strength 64/100 score; this is close to the 24-hour high and confluent with EMAs on the daily chart. A stronger barrier is at 2.575 dollars; with a 73/100 score, three resistance confluences from the 3D timeframe converge here. The 2.606 dollar indicated by Supertrend also stands out as an additional obstacle.
These resistances show a balanced distribution in MTF: 2R on 1D, 3R on 3D, 2R on 1W. Volume increase is essential for a breakout; otherwise, price may be rejected from these levels and the downtrend may continue.
Momentum Indicators and Trend Strength
RSI (14) is at 30.59 and has entered the oversold zone; this indicates short-term momentum exhaustion, but weekly closes need to be monitored for divergence. The MACD histogram is negative and gaining downward momentum after a bearish crossover; there is no negative divergence between the signal line and price, meaning trend strength remains in favor of selling.
EMAs show bearish alignment: Price is below EMA20 (2.446$), with EMA50 and EMA200 also sloping downward. Supertrend is bearish with trailing stop at 2.606$. Trend strength measured by ADX is at medium levels (25-30 range), meaning the downtrend can continue but may weaken without strengthening. These indicators, as emphasized in ETH’s spot analysis, make it reasonable to wait for an oversold bounce for recovery.
Risk Assessment and Trading Outlook
From a risk/reward perspective, the bullish scenario targets 3,000 dollars (%46 upside from current price) balanced with the risk of a 1.995 support break (stop-loss), offering a balanced R/R (approximately 1:2). On the bearish side, while 662 dollars is a low-score target, a 1.747 break could trigger serious selling. Overall outlook has a bearish bias; however, there is short-term bounce potential with RSI oversold.
Volatility is high, implied vol in the 60% range. For positions, wait for 1.995 support to hold; short on break, long on hold. Monitor market makers’ behavior, as volume distribution shows selling dominance. Adjust ETH exposure relative to BTC for a balanced portfolio.
Bitcoin Correlation
ETH exhibits high correlation with BTC (0.92); BTC’s downtrend (from 69,413$ -2.34%) directly pressures ETH. BTC supports at 69,190, 65,843, and 60,000 dollars; breaks of these levels could drag ETH toward 1.747. Resistances at 70,984, 79,578, and 85,625; with BTC Supertrend bearish, altcoin rally remains limited.
While BTC dominance is rising, ETH shows relative weakness; if BTC holds 69,190, ETH could bounce, but a 65,843 break brings synchronized downside. This correlation makes it essential to evaluate ETH trades in the BTC context.
This analysis uses Chief Analyst Devrim Cacal’s market views and methodology.
Source: https://en.coinotag.com/analysis/eth-technical-analysis-february-9-2026-market-commentary-support-and-resistance-and-price-targets
