ETH price update – $3.4K in sight if THIS Ethereum support fails!

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Key Takeaways

What is the short-term Ethereum outlook?

It appears that the Ethereum landscape is becoming a battleground, with $3.9k-$4k acting as the only thing keeping the hopes of a glorious recovery alive. Should this support crumble, prepare for the worst – or at least the inevitable crash to $3.4k. But don’t worry, it’s not like we’re staring into the abyss… or are we? 😅

What are the key resistances overhead?

The price is fighting a cruel game of tug-of-war with $4,250 and $4,472, those pesky Fibonacci retracement levels that seem to always get in the way. Meanwhile, the $4,755 mark stands like the locked gate to a bullish market, waiting for someone to bring the key and set us free. If only it were that easy, right? 🙄

The Ethereum [ETH] ecosystem, always the overachiever, has claimed the top spot for active developers in 2025, leaving Solana [SOL] to pick up the crumbs in second place. The correlation between them remains tight, like two siblings who can’t stand each other but are forced to sit together in the backseat. 😬

Meanwhile, Ethereum is seeing an outflow from exchanges that has investors excited and, dare I say, a tad smug. The ETH Exchange Supply Ratio on Binance is a deliciously low 0.033, signaling that investors are taking matters into their own hands, moving their precious tokens to self-custody. A multi-month low? Maybe this time it’s for real. 🤞

But wait, there’s more! Bhutan’s National Digital Identity is now anchored on the Ethereum network, making this the perfect excuse to maintain a bullish outlook. Who doesn’t love a good government-backed initiative, right? The price charts must surely be sending good news, though. Let’s take a look.

Ethereum bulls should not ignore these warning signs

The weekly chart shows a bullish swing structure, which, to the untrained eye, looks promising. But look closer, and you’ll see that the Fibonacci retracement levels are there, ready to remind us that everything is temporary. At this moment, the bullish breaker block at $4k, highlighted in cyan, is keeping the dream alive… for now.

But here’s the kicker: the OBV (On-Balance Volume) has dipped below the high from December 2024. And no, that’s not a typo. We are seeing a slowdown in demand that should make even the most optimistic of us sweat. Oh, and don’t even get me started on the RSI – it’s stubbornly stuck below the neutral 50, like that one friend who never wants to leave the party. 😒

Looking ahead, a weekly close below $3,712 could send shivers down the spine of anyone holding ETH, signaling that the bears are ready to send us on a lovely detour to $3.1k. A minor inconvenience, really.

On the daily chart, things look even grimmer. Ethereum has slipped below $3,815, leaving a nasty bearish mark on the market structure. The imbalance at $4.2k (the white box – you can’t miss it) has already been filled, like an overstuffed suitcase before a trip.

At $4,250, we hit the 61.8% Fibonacci retracement level from Ethereum’s most recent downward spiral. Is this a sign of hope, or just an illusion? The bulls may struggle to push past the $4.2k-$4.4k resistance zone in the coming days, and their ability to hold the line above $4,000 will be the key. Not much pressure, huh? 🫣

And here comes the cherry on top: if Ethereum dips below $3.9k, brace yourself for the inevitable slide toward $3.4k within a week or two. But don’t worry, there’s always next time, right?

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2025-10-17 07:12