Ethereum Price: Is the Summer Rally Already Over?
Ethereum’s price has slipped to around $4,190, marking a notable correction after its strong summer rally.
The decline comes as momentum indicators suggest fading strength, raising questions about whether bulls can defend crucial levels.
On the daily chart, ETH recently dropped below the 50 mark on the Relative Strength Index (RSI), now hovering near 40. This shift signals weakening buying pressure, with the market struggling to maintain its recent highs above $4,400. Analysts warn that if the downward trend continues, Ethereum could test deeper support zones in the coming weeks.
The weekly chart highlights $4,100 as a critical area to hold. A decisive break below this level could open the door toward the $3,940–$3,600 region, where liquidity clusters suggest stronger buying interest. Below that, historical support zones near $2,800 and $2,600 remain potential targets if selling accelerates.
Market analyst Michael van de Poppe described the latest move as a “classic liquidity sweep,” noting that overleveraged positions have been flushed from the market.
According to him, these sharp corrections often create opportunities for long-term investors to accumulate positions, provided key support levels remain intact.
Despite the pullback, Ethereum’s broader trend still shows resilience compared to earlier in the year, when the asset traded under $2,000. The market is closely watching whether this correction proves to be a healthy retest of support before another leg higher, or the beginning of a larger downward phase.
For now, traders are eyeing $4,100 as the line in the sand that could define Ethereum’s next move. A bounce here could reinforce bullish sentiment, while a failure risks shifting momentum back toward sellers.
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 an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
