Ethereum leads strongly, but beware of the risk of Bitcoin dragging down
Ethereum's price continues to reach new highs, igniting market enthusiasm completely. As Bitcoin fluctuates at high levels, institutional funds that failed to position BTC in time are pouring into ETH, pushing its price steadily upwards. The current price is approaching the critical level of $3650, and once it breaks through effectively, the next target will be $3900, with even the possibility of challenging the $4000 mark.
From a technical perspective, ETH is currently in a multi-level rebound resonance stage: a 4-hour rebound is nested within a 2-hour uptrend, and within the 2-hour level, there is also an acceleration at the 30-minute level. This nested upward structure indicates that the market has strong bullish momentum, but it has not yet entered the main upward wave at the daily level. Short-term traders can look for low buy opportunities near the EMA52 moving average at the 1-hour, 2-hour, or 4-hour levels.
Bitcoin's trend remains a key variable
It is important to be aware that although ETH is performing strongly, its trend is still constrained by Bitcoin. If BTC shows a significant pullback, ETH will find it hard to remain independent; only when Bitcoin maintains a sideways fluctuation can Ethereum gain independent upward space.
In terms of key support and resistance, the range of 3650-3900 forms the upper resistance zone, while the region of 3330-3220 is important short-term support. Further down, the range of 3040-2850-2730 is the long-term bullish defense line; as long as this area is not broken, ETH's upward trend will not easily change.
The current market has entered a critical stage, and while investors enjoy the benefits of ETH's rise, they must closely monitor Bitcoin's movements and prepare risk response plans.
