ETH Faces Sharp Pullback as Traders Eye Key Support Levels
Ethereum (ETH) has retreated below the $4,400 mark after a steep rally pushed the cryptocurrency close to its highest levels in over a year. The sudden drop comes after ETH tested the $4,805 resistance zone, where heavy selling pressure quickly reversed momentum.
Over the past month, Ethereum surged from around $2,700 to above $4,700, breaking through multiple resistance levels and triggering a wave of bullish sentiment. However, the rejection near $4,800 marks the first significant pullback since the uptrend began.
Market analysts highlight that the $4,400–$4,000 range is now the first major support zone to watch. This level also coincides with a prior consolidation area from late 2024, which could act as a buffer for further declines. “After such an aggressive rally, it’s natural to see profit-taking,” According to BITX . “The key is whether ETH can maintain above $4,000—if it fails, momentum could shift rapidly.”
The chart also shows strong historical support around $3,500, which served as a breakout level earlier in the run. A deeper correction into this zone would still be considered a healthy retracement within the broader bullish structure, provided selling does not accelerate further.
Volume analysis during the drop indicates that liquidation-driven selling may have amplified the decline. Despite this, some traders remain optimistic, citing Ethereum’s long-term fundamentals and recent network upgrades. “Volatility is expected in crypto markets,”.
If Ethereum can reclaim the $4,500 level in the near term, it could signal that the pullback was a short-lived shakeout before another attempt at the $4,800–$5,000 range. On the flip side, sustained weakness below $4,000 could open the door for a retest of deeper supports.
For now, Ethereum is in a critical technical position. The next few trading sessions will determine whether the recent drop is simply a pause in an ongoing rally—or the start of a more extended correction.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.