Ethereum’s price is currently testing significant resistance near the $3,900 level. Trading near $3,650, the cryptocurrency faces substantial hurdles in breaching the $3,750-$3,800 zone, with substantial sell-side liquidity concentrated between $3,900 and $4,000.
Current price structure indicates bearish pressure, evidenced by repeated failures to overcome the resistance above $3,750. Conversely, a double bottom pattern observed near the $3,400-$3,500 zone suggests potential for a bullish reversal should buying momentum accelerate significantly.
Failure to hold critical support at $3,147 could trigger a more profound downturn, potentially pushing Ethereum towards the $2,900 region. Conversely, a decisive breakout above the psychological $4,000 barrier is viewed by market analysts as a strong bullish signal. Such a breakout could potentially open the path for significant long-term appreciation, with targets speculated as high as $8,000.
The outcome of this pivotal test near $3,900 is expected to dictate Ethereum’s near-to-medium term price trajectory.