Ethereum’s price is currently stuck in a bit of a rut, consolidating after its recent climb. Let’s see what’s happening.
Holding Steady, For Now
Ethereum is trading around $4,190, hovering just above the crucial $4,150 support level. This level has been acting like a safety net for the price. The price action is happening within a “falling channel,” which usually means a short-term correction is underway. This makes sense after the big price jump earlier this month. It’s like the market’s taking a breather before deciding where to go next.
What Happens Next?
If buyers can hold the line at $4,150, Ethereum could break out of this channel. This could lead to a retest of the $4,788 resistance level (or even the all-time high!). Breaking through that resistance would likely kickstart a new bullish run.
But, if the $4,150 support cracks, we could see a bigger price drop. The next support level is around $3,900 – a pretty important level for bulls to defend. Losing that could signal a more significant correction.
Key Levels to Watch
The key thing to watch is momentum and these key price points:
- Support: $4,150 (immediate), $3,900 (stronger)
- Resistance: $4,788 (major hurdle)
Right now, the short-term trend is bearish (lower highs and lower lows). But, a breakout above the falling channel would completely change that, turning the outlook bullish and suggesting further price increases. Conversely, losing the $4,150 support would be a bearish signal. The $4,788 resistance level is the big one to watch on the upside. Breaking through that would be a huge bullish sign.
