Ethereum (ETH) has faced significant challenges this week, with prices dropping below $3,200 during a broader market sell-off. This represents a decline of over 6% in the last day and more than 17% in the past week, according to CoinGecko data.

After a robust performance earlier this year, Ethereum’s recent moves bring it back to critical technical levels.

ETH/BTC Entering Accumulation Zone

The ETH/BTC pairing has returned to a historically significant buy zone. Analyst Michaël van de Poppe noted that although the current price dip is more pronounced than expected, it remains in a range historically associated with accumulation. He stated:

“A little deeper than expected on ETH, but this is still the level that I think is wise to look for potential accumulations.”

Currently, ETH/BTC trades around 0.0326 BTC, aligning with areas that previously served as resistance in early 2025, which could now function as support.

Technical Indicators Present Mixed Signals

Various technical indicators show conflicting signs. The weekly RSI remains above the oversold threshold, while the daily Stochastic RSI indicates it is significantly oversold. This suggests that the recent sell-off might be easing. The MACD remains in the negative range, but the histogram indicates a decreasing intensity of downward pressure.

Source: TradingView

Long-Term Support Continues to Hold

Analyst Kamran Asghar indicated that Ethereum is testing a crucial trend line that has remained intact since 2022, reflecting its resilience as it has rebounded from similar levels multiple times over the past two years. He remarked:

“$ETH is making a critical retest of the multi-year ascending support trendline.”

The aforementioned trends come amidst additional insights from Ali Martinez, who outlined potential scenarios for Ethereum’s price trajectories. He suggested that if ETH can stabilize above $3,800, it might eventually target $8,000, though potential setbacks loom if it fails to reclaim the $4,000 line soon. Martinez also indicated possible declines to $2,400 or even $1,700 as concerning possibilities.

In another analysis, trader Ted emphasized that for a rebound, Ethereum must breach the $3,500–$3,600 thresholds. If prices remain under this range, further declines may materialize towards $2,800.

In conclusion, Ethereum is at a pivotal point as market participants await clarity on whether support levels will hold or if bearish trends will prevail.