Ethereum Drops Below $4,000 as Market Pressure Deepens
Ethereum fell under the $4,000 mark on Friday, extending its decline as broader market sentiment weakened across major cryptocurrencies.
The second-largest digital asset traded around $3,959, down nearly 9% in the past 24 hours and over 12% for the week, according to market data.
Bitcoin also remained under pressure, hovering near $116,000 after sliding over 4% in the past day. XRP, meanwhile, was among the hardest-hit large-cap coins, dropping below $2.70 after a weekly loss exceeding 12%.
Technical Indicators Signal Caution
Ethereum’s latest technical readings indicate growing bearish momentum. The daily chart shows the Relative Strength Index (RSI) hovering around 51, suggesting fading buying strength. Meanwhile, the MACD indicator has turned negative again, hinting that downward momentum could persist in the short term.
On TradingView’s daily technical analysis summary, Ethereum currently holds a “Sell” signal overall. Out of 26 major indicators, 15 point to a sell, 9 remain neutral, and only 2 suggest a buy. Moving averages show an even stronger bearish tone, with 12 indicators marking a “Strong Sell.”
Market Context and Outlook
The recent correction comes amid heightened volatility across both crypto and traditional markets. Investors are weighing the impact of U.S. President Donald Trump’s renewed tariff threats toward China, which triggered broad risk-off sentiment in global equities and digital assets alike.
Ethereum’s latest price action follows a brief attempt to stabilize above $4,200 earlier this week, but the coin failed to hold that level as sellers regained control. Traders are now eyeing the $3,800 region as a key support zone, with a potential recovery only likely if ETH can reclaim the $4,100–$4,200 range.
For Bitcoin, the $115,000–$117,000 corridor remains crucial as it attempts to avoid further downside pressure. XRP, struggling below $2.70, risks deeper losses if sentiment fails to improve.
As markets digest recent macro headlines, analysts expect volatility to remain elevated through the weekend, with Ethereum’s technical setup suggesting the potential for another test of lower support before any sustained rebound.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Alex is Editor-in-Chief of Coindoo and co-founder of Millennial Media Group, with nearly a decade of experience covering financial markets - crypto first, then everything else. It started in 2016 with Bitcoin. Like most people at the time, he didn't fully understand it - so he kept digging. Blockchain, tokenomics, the projects, the cycles. That curiosity never stopped, and eventually pulled him into traditional markets too: equities, commodities, macro. Not because he left crypto behind, but because you can't properly understand one without the other. What drives him is straightforward: he wants to know why something is happening, not just that it's happening. Most market coverage stops at the headline - price up, price down, here's a chart. Alex finds that kind of reporting actively unhelpful. If you walk away from an article without understanding the mechanism behind the move, what did you actually learn? He holds a degree in Tourism from New Bulgarian University - not the most obvious path into financial markets, but markets have a way of pulling in people who are simply too curious to stay out. He has authored over 200 in-depth analyses and more than 10,000 articles across crypto and traditional finance. He still thinks every day in markets teaches him something new. That's probably why he hasn't stopped.
