Ethereum’s price recently faced rejection around the $4,000 level on Monday, triggering a sharp 14% decline over three days. As of Friday, Ethereum is trading at approximately $3,450 after closing below the crucial $3,522 weekly resistance level.
Key Support and Resistance Levels
If ETH closes below $3,335, the next major support level lies at $3,029. This level is critical for short-term traders monitoring ETH price prediction trends. On the upside, breaking above $3,522 could set the stage for a retest of the $4,000 level.
Technical Indicators Signal Bearish Momentum
The Relative Strength Index (RSI) on Ethereum’s daily chart currently reads 42, well below the neutral level of 50. This indicates strong bearish momentum, suggesting caution for traders looking to enter the market at this time.
Key Figures Driving Ethereum’s Fundamentals
Despite the recent price dip, Ethereum’s fundamentals remain strong:
Ethereum ETFs: Inflows have increased for 18 consecutive days, totaling over $2.46 billion. This reflects growing institutional interest in Ether as a viable investment.
Staking Trends: Over 54.7 million ETH tokens are staked, backed by a growing base of 206,000 unique stakers. This underscores long-term bullish sentiment among holders.
DeFi Dominance: Ethereum leads the blockchain industry with $73.7 billion in Total Value Locked (TVL) across its decentralized finance ecosystem, outperforming other chains like Solana, Base, and Arbitrum combined.
Also Read: Filecoin Price Prediction 2024, 2025, 2030
Market Sentiment and Future Predictions
The market reacted negatively to the Federal Reserve’s recent rate decisions. While cryptocurrencies like Ethereum tend to perform well in dovish environments, the hawkish stance has created temporary headwinds.
ETH Price Prediction: Short-Term and Long-Term Outlook
Short-Term: Traders should watch the $3,522 resistance and $3,335 support levels closely. Breaking either level could determine Ethereum’s next price direction.
Long-Term: Analysts forecast Ethereum reaching $6,500 by 2025. This projection is supported by factors like Ethereum 2.0 upgrades (sharding and proof-of-stake), growing institutional adoption, and expanding use cases in decentralized finance and smart contracts.
Info Box: Why Investors Are Bullish on Ethereum
ETF Growth: $2.46 billion inflows over 18 days.
Staking: 54.7M ETH staked by 206K unique holders.
DeFi Dominance: $73.7B TVL, leading the blockchain space.
By staying informed about key levels and understanding market drivers, traders and investors can better navigate Ethereum’s price movements and make more informed decisions about ETH coin investments.