- Ethereum faces pressure near $4,000 as resistance levels cap gains while strong support at $3,941 and below keeps traders cautious.
- Analysts highlight compression and liquidity battles around $4,000, signaling that a larger Ethereum move could unfold in coming weeks.
- Ethereum shows resilience after summer lows but remains in a delicate zone where sustaining support is vital for a bullish continuation.
Ethereum faces mounting pressure as it attempts to hold above the $4,000 mark after recent losses. According to CoinMarketCap, Ethereum trades at $4,444.98, down 5.47% in the last session, shedding $243.36. Analysts warn that a break below key support zones could trigger renewed selling.
Michaël van de Poppe, a leading market analyst, stated on X, “I think that we’ll see some more chop occur on $ETH.” He added, “It’s now down nearly 20% from the high, not a bad spot to be accumulating your first positions.”
Weeks of market turbulence and fluctuating prices are reflected in the cryptocurrency’s price activity. From summer lows around $2,100 to recent highs, Ethereum has been in a recovery pattern since August.
Resistance levels at $4,201 and $4,107, however, still prevent upward momentum. With deeper backing at $2,630 and $2,403, support is still crucial at $3,941.
Technical Setup Signals Key Turning Point
Ethereum’s weekly chart highlights a gradual bottoming process during summer before recovery began. The 20-week moving average now approaches, signaling compression that often precedes a larger move. Van de Poppe noted, “Compression is building up → Big move to occur at a later time.”
Moreover, trading volumes confirm strong activity during major liquidations, particularly around $2,800 when liquidity was taken. Since then, volumes cooled but still highlight investor interest near crucial levels. Hence, the market structure remains delicate, with buyers and sellers battling across identified liquidity zones.
Resistance, Liquidity, and Market Structure
Annotations on the chart show liquidity sweeps shaping price action. Analysts observed, “Take liquidity in this area before we continue moving upwards,” near the $4,000 zone. This area now represents a decisive support that must hold for bullish continuation. Failure to do so could reintroduce bearish pressure and test lower support.
Additionally, projections extend into 2026, mapping resistance layers that could shape long-term recovery. Ethereum’s resilience since August shows strength, yet the battle at $4,000 defines the immediate outlook.
Ethereum sits at a make-or-break zone above $4,000. Holding this level could fuel continuation, while a breakdown risks deeper correction.
