Ethereum Price Prediction and Market Analysis

Published: June 27, 2025

Author: Alejandro Arrieche

Key Highlights

• Ethereum (ETH) has experienced a decline of nearly 2.6% over the past week, influenced by geopolitical tensions in the Middle East.
• Current price levels indicate strong selling pressure between $2,600 and $2,900, with a potential drop to $1,750 if key support levels are breached.
• President Trump has announced a halt to tariff negotiations with Canada, which could have broader implications for U.S. economic policy and market sentiment.

Market Context

The recent geopolitical tensions, despite a cease-fire agreement between Iran and Israel, have unsettled investors, leading to a bearish sentiment in the cryptocurrency market. The Federal Reserve's indication of possible interest rate cuts has also contributed to market volatility.

Impact of U.S.-Canada Trade Relations

President Trump’s decision to impose high tariffs on Canadian goods in response to Canada’s digital services tax on American firms could further exacerbate inflationary pressures in the U.S. This scenario may lead the Federal Reserve to reconsider its plans for interest rate cuts, which would negatively impact high-risk assets like cryptocurrencies.

Technical Analysis of Ethereum

Ethereum's price has found temporary support at $2,100, but the overall market conditions suggest a bearish outlook. The weekly chart indicates that the $2,500 to $2,900 range has been a strong resistance zone, favoring sellers. The 9-day and 21-day exponential moving averages (EMAs) have crossed below the 200-day EMA, signaling potential further declines.

Potential Price Movements

If Ethereum fails to hold the $2,100 support level, a retest of this area could lead to a drop towards $1,750, representing a 25% downside risk from current levels. Confirmation of this bearish trend would require the price to break below $2,100 and subsequently reject this level from below.

Conclusion

The combination of geopolitical tensions, trade policy changes, and technical indicators suggests a challenging environment for Ethereum in the near term. Investors should remain cautious and monitor key support levels closely as market dynamics evolve.