Ethereum Faces Potential Drop Below $3,400 After Fibonacci Rejection
The recent Ethereum price rejection below $4,000 has established a concerning trend. The key focus is at the 0.618 Fibonacci retracement level, where the last rejection occurred.
Key Points on Ethereum Price Movements
- Rejection from the 0.618 Fibonacci level initiated a decline from $4,200, forming a lower high on the 4-hour timeframe.
- This pattern suggests increased selling pressure and fading bullish momentum.
- The price struggles around $3,900, indicating potential loss of support.
- If the $3,900 support fails, the next major support is at $3,385.
Potential for Bullish Reversal
- Despite bearish pressure, breaking out of the downtrend remains possible if $3,900 support holds.
- Reclaiming this support could lead to a resumption of the uptrend above the 0.618 Fibonacci level.
