Ethereum (ETH) Deadlocked Below $1,900 as Market Recovery Stalls

Ethereum price is currently consolidating at $1,837, down slightly from its recent 24-hour high of $1,847, according to CoinGecko.

Ethereum (ETH) price is currently consolidating at $1,837, down slightly from its recent 24-hour high of $1,847, according to CoinGecko.

This consolidation comes as traders digest a key political setback in the U.S. that could have implications for Bitcoin (BTC) and the broader crypto market.

At present, the world’s second-largest cryptocurrency is trading at $1,837, showing a 1.7% uptick on the weekly chart and a monthly gain of 2.8%. However, it has struggled to break above the critical $1,900 price point.

On Saturday, Arizona Governor Katie Hobbs vetoed a bill that would have allowed the state to hold Bitcoin in its strategic reserves. The bill, which had already passed the legislature, aimed to diversify the state’s investments and introduce exposure to Bitcoin.

The governor’s veto was a setback for cryptocurrency enthusiasts who had hoped to see more widespread adoption of Bitcoin among government institutions.

As Bitcoin price retraced from $98,000 to $96,200 following the veto, Ethereum also slipped into a modest correction.

Despite reduced weekend trading volumes, Ethereum is still showing signs of active buying pressure, supported by short-term traders’ confidence.

Open Interest stands at $20.87 billion (-0.57%) while total trading volume dropped 29.8% to $28 billion. The ETH futures trading volume decline being larger than the Open interest dip on Saturday indicates that majority of investors are abstaining rather than close out their ETH positions.

Buterin’s Latest Update Has Bulls Holding Strong

In a move that could significantly reshape Ethereum, Vitalik Buterin has published a new five-year roadmap titled “Simplifying the L1.”

The proposal, which aims to radically reduce Ethereum’s base-layer complexity, aligns it more closely with Bitcoin’s minimalist architecture.

Buterin highlighted that while Bitcoin’s codebase is a marvel of efficient simplicity, focusing on minimal lines of code and optimal performance, Ethereum’s core protocol has become comparatively bloated.

At present, Buterin estimates that Bitcoin’s code spans around 15,000 lines, whereas Ethereum’s is over 300,000. This disparity arose as developers expanded the protocol to accommodate a wider range of dApps, smart contracts, and advanced functionalities.

However, this expansion has also brought severe challenges in terms of security and maintainability. The infamous DAO hack of 2016, where $50 million in ETH was drained through a flaw in a smart contract, serves as a stark reminder of such vulnerabilities.

To address these issues and streamline the protocol for the long term, Buterin proposes imposing a maximum code line limit for Ethereum’s core. This change would reduce the surface area for attackers and make auditing tasks simpler, ultimately contributing to a more resilient and secure protocol.

“Simplicity, like decentralization, is upstream of resilience. The people working on the core protocol can do more to optimize for simplicity in the long term,” Buterin concluded.

While the ETH price may not react immediately to these structural changes, market sentiment around Ethereum’s long-term viability has visibly improved.

The long/short ratio on Binance ETH/USDT shows 2.52:1 for top traders’ accounts, a bullish indicator that suggests whales are already predominantly betting on Ethereum price upside for the coming sessions.

Ethereum Price Forecast: ETH Eyes $1,950 as Compression Builds Near Key Resistance

Ethereum price forecast today reflects a market steadily coiling beneath resistance at $1,873.17, with technical signals aligning for a potential breakout toward $1,950.

Price action has maintained higher lows through late April into early May, revealing steady accumulation under resistance. The Donchian Channel indicator also shows ETH price pressing its upper boundary, a classic setup for a volatility expansion.

Despite the mild pullback to $1,835.30 on Saturday, arising from a U.S. political event that saw Arizona Governor Katie Hobbs veto a bill that would have allowed the state to hold Bitcoin in its strategic reserves, bullish momentum remains intact. The mid-channel support at $1,705.22 stands as the nearest downside checkpoint.

The Choppiness Index reading at 47.86 confirms a sideways, coiling price structure—neither fully directional nor overly consolidated.

A decisive close above the $1,873 ceiling with increased volume would likely propel Ethereum toward $1,950 in the near term. Conversely, a breakdown below $1,800 would decrease bullish conviction and expose $1,705.22 as a possible retracement zone.

Frequently Asked Questions (FAQs)

1. Why is Ethereum price consolidating below $1,9