CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Polkadot (DOT) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • Market Updates
  • BTC Analysis
  • ETH Analysis
  • XRP Analysis
  • DOT Analysis
  • Interviews
CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Polkadot (DOT) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
Home » ETH » Is ETH Ready to Challenge $3.5K and $4K After Recent Crash? (Ethereum Price Analysis)

Is ETH Ready to Challenge $3.5K and $4K After Recent Crash? (Ethereum Price Analysis)

Author: CryptoVizArt

Last Updated Dec 30, 2024 @ 12:32
Getting your audio player ready...

Ethereum recently found stability at the $3K support region after facing substantial selling pressure, leading to a consolidation phase.

A golden cross on the daily chart further signals the potential for a mid-term bullish rebound, suggesting optimism in the market’s outlook.

Technical Analysis

By Shayan

The Daily Chart

Ethereum’s price action has been marked by increased volatility, particularly after its rejection at the $4K resistance level. This decline pushed the asset below the crucial $3.5K threshold, ultimately finding strong support at the $3K zone. This level holds considerable significance due to the confluence of demand and the alignment of the 100-day and 200-day moving averages.

On the other hand, the emergence of a golden cross, where the 100-day MA has crossed above the 200-day MA, further emphasizes a potential shift toward bullish sentiment. However, Ethereum remains confined below the $3.5K resistance, requiring a decisive breakout to catalyze a new upward trend. A successful breach could set the stage for a renewed rally.

The 4-Hour Chart

On the 4-hour timeframe, Ethereum’s decline from the ascending price channel culminated in a test of the $3K region. This zone is not only psychologically significant but also aligns with the 0.5 ($3.2K) and 0.618 ($3K) Fibonacci retracement levels, reinforcing it as a robust support line.

Current price action suggests a potential buildup of buying interest, with this region serving as a critical defense line for bulls. If this support holds, Ethereum is likely to embark on a fresh bullish surge, with targets set toward reclaiming the $3.5K resistance. Conversely, a sudden breakdown below the $3K threshold could trigger a cascade of liquidations, driving the price toward the $2.5K support, marking a deeper retracement.

Onchain Analysis

By Shayan

After Ethereum’s significant correction to the $3K level, the futures market has begun a cooling-off period, raising expectations for a potential bullish rebound. The funding rates metric, a trusted proxy for futures market sentiment, offers valuable insights into this development.

Ethereum’s consolidation above the critical $3K support level has allowed bullish participants to re-enter the market. This renewed demand is reflected in the uptick in funding rates, signaling that more traders are opening long positions. Such behavior often indicates growing confidence among market participants as they anticipate a reversal in the current trend.

The recent spike in funding rates suggests an influx of buyers, which, if sustained, could drive a substantial bullish rebound. This renewed buying pressure can potentially push Ethereum toward the crucial $4K resistance in the short to mid-term.

SPECIAL OFFER (Sponsored)
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).

LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!


Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.
Tags: Ethereum (ETH) Price
Enjoy reading? Share with your friends
Facebook Twitter LinkedIn Telegram

About The Author

Crypto VizArt
More posts by this author

Full-time on-chain Data Analyst and Python Programmer. Passionate about Bitcoin and DataVisualization. Contact: Twitter

Join Our Community

FacebookX YouTubeTelegram


Editorials
What is Hyperliquid (HYPE): The Complete Guide in 2025

What is Hyperliquid (HYPE): The Complete Guide in 2025

What is Truth Terminal and the Rise of AI Agents: In-Depth Look at GOAT And Beyond

What is Truth Terminal and the Rise of AI Agents: In-Depth Look at GOAT And Beyond

Real World Assets: an Emerging Reality in an Inevitable Future

Real World Assets: an Emerging Reality in an Inevitable Future

The Future of NFTs: A Transformation, Not a Tombstone

The Future of NFTs: A Transformation, Not a Tombstone

Trump’s Win Is Big for Crypto, But Let’s Keep Expectations in Check (Op-Ed)

Trump’s Win Is Big for Crypto, But Let’s Keep Expectations in Check (Op-Ed)

What Is Sui Network (SUI): The Ultimate Guide in 2025

What Is Sui Network (SUI): The Ultimate Guide in 2025

What Is The Open Network (TON): All You Need to Know in 2025

What Is The Open Network (TON): All You Need to Know in 2025

Join Our Newsletter
Become a CryptoPotato VIP
One Weekly Email Can Change Your Crypto Life.
Sign-up FREE to receive our extended weekly market update and coin analysis report
We NEVER send spam. You can unsubscribe at any time.
Invalid email address
Thanks for subscribing!
Footer Logo
About
Advertise on CryptoPotato
About Us | Contact Us | Careers
Editorial Policy
Terms of service | Privacy Policy | GDPR
More Sections
IEO List | Evaluations
Airdrops
Scholarship
Disclaimer
Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
© Copyright CryptoPotato 2016 - 2021
Scroll to top
One Daily Email Can Change Your Crypto Life.

Sign-up FREE to receive our extended daily market update and coin analysis report

We never send SPAM. You can unsubscribe at any moment
Invalid email address
Thanks for subscribing!