The cryptocurrency market saw a sharp downturn in the last 24 hours, with Ethereum dropping over 11%. A potential manipulative sell-off led to a 5% decline in total crypto market capitalization, pushing ETH to retest key support levels.

ETH Holds Key Technical Zone

Ethereum is currently consolidating within a long-term symmetrical triangle on the weekly chart. The latest rejection at $4,107 triggered a correction, sending ETH to $2,152 before bouncing.

Now trading around $2,395, ETH is testing its 200-week moving average at $2,480, a historically strong support level. Holding above this zone could initiate a relief bounce, potentially reversing the broader altcoin downtrend.

Bearish Risks Remain

Despite the initial bounce, bearish risks persist. If ETH fails to hold above the 200-week MA, it could retest the lower trendline of the symmetrical triangle, with support around $2,250–$2,300. The MACD remains in negative territory, but a potential bullish crossover in the coming weeks could signal a reversal if ETH maintains key support.

What’s Next for Ethereum?

Ethereum is at a critical juncture, where a decisive bounce could reignite altcoin momentum. However, failure to hold support may lead to deeper losses. Traders should closely monitor ETH’s price action in the $2,480–$2,500 range for confirmation of the next major move.