Ethereum (ETH) has recently faced a steep drop of 14% in a week, holding its ground despite the bearish trend. Analysts are suggesting that this might not represent a weakness but could indicate an impending bullish trend, especially with ETH currently trading around $3,390 after a 2% rise over the last 24 hours.

Some technical analysts are pointing to long-term chart configurations and liquidation setups that appear to bolster a bullish continuation possibility.

Technical Analysis and Market Sentiment

Trader Tardigrade shared insights on Ethereum’s price action, illustrating a multi-cycle perspective on the 3-day chart. This analysis suggests a recurrent pattern where breakdowns have historically transitioned into subsequent robust uptrends. Therefore, the recent price dip could mark the beginning of another upward trend. Tardigrade noted:

“$ETH/3-day breakdown is essential for a massive surge 🔥 #Ethereum”
— Trader Tardigrade (@TATrader_Alan) November 6, 2025

Long-Term Bullish Pattern

Market analyst BACH highlighted a long-term bullish pennant formation shown on the weekly chart, asserting that Ethereum has recently recaptured its breakout point of $3,000, aligning with a 0.382 Fibonacci retracement from the previous cycle. This established area is under observation as a reliable support level.

Predictions based on Fibonacci projections reveal potential future price targets of $7,700, $15,500, and even $30,500, with a peak anticipated between 2025 and 2026. BACH remarked, “Crypto sentiment [is] completely washed out and in Extreme Fear,” indicating current market conditions often found at historical lows.

Source: BACH/X

Short-Term Price Levels

Analyst Lennaert Snyder highlighted the importance of holding the $3,300 support level to maintain upward momentum, suggesting that reclaiming $3,530 is critical. He stated:

“If we lose $3,300 with conviction I’m shorting the continuation to probably new lows.”

Liquidation data points to a buildup of short positions between $3,500 and $3,800, indicating that upward movement may trigger rapid forced liquidations. “MAX PAIN IS UP FOR $ETH,” cautioned CryptoGoos, emphasizing the risks involved for short positions.

Despite a recovery effort, Ethereum has struggled to regain the $3,600–$3,700 range, with analyst Ted underlining:

“Until Ethereum reclaims the $3,600–$3,700 zone with strong inflows, the chances are it’ll go lower.”

As highlighted by CryptoPotato, the Taker Buy-Sell Ratio on Binance remains under 1.0, underscoring a greater selling pressure as buyers are tentatively looking for a reversal.