Key Insights:
- ETH rejects $3K resistance again, triggering sharp pullback into the $2,780–$2,820 support zone.
- Price remains inside a clear downtrend channel, with short-term bounces offering limited upside.
- Traders watching $2,800 support as the next move decides whether reversal or further drop continues.
Ethereum (ETH) declined sharply after failing to stay above the $3,000 level. The rejection led to a fast drop, with the price trading near $2,949.56. Over the last 24 hours, ETH is down 2.3%, and it has lost 7.7% over the past week. This move followed strong selling pressure at a known resistance area.
According to LennaertSnyder, “rejecting $3,000 triggered shorts after the failure.” Price briefly moved into the resistance zone before reversing. As a result, short positions became active again, with traders targeting lower support. The $2,960–$3,000 zone continues to cap upside attempts for now.
Bulls Step In at $2,800 Support
Following the sell-off, ETH found support between $2,780 and $2,820. This zone held, and price bounced slightly, allowing short-term long trades. However, momentum remains weak, and traders are cautious about chasing upside too early.
Lennaert Snyder added,
Source:Lennaert Snyder/XThis suggests that another dip below current levels may come before a stronger recovery. Meanwhile, the release of CPI data adds potential volatility, prompting traders to reduce leverage and manage risk.
Downtrend Structure Remains Intact
On the higher timeframe, ETH was still trading inside a descending channel, as shown in the daily chart from Morecryptoonl. The structure has held since mid-year, marked by lower highs and lower lows. At press time, price is near the midline of the channel, which has served as a pivot area in past moves.
The $2,712–$2,788 zone also aligns with major Fibonacci levels. Crypto Online stated, “at least a short-term bounce is possible from this zone.” Even so, the trend remains bearish until a clean breakout occurs. The current wave structure leaves room for one or two more lows before any clear bottom can form.
Key Levels to Watch Moving Forward
Looking ahead, a confirmed move above $3,000 would be the first sign of strength. Until then, the trend favors sellers. The channel continues to guide price action, and lower supports at $2,626, $2,258, and $1,820 remain in focus if the $2,800 zone fails.
At press time, market attention stays on how ETH reacts around current support. A break lower could extend the downtrend, while a bounce may trigger a short-term recovery. Traders are watching key zones closely and adjusting strategies based on how price responds in the coming sessions.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Source: https://coincu.com/analysis/eth-dumps-after-3k-rejection-bulls-hold-2-8k-support/
