$ETH Downtrend Accelerates — Is $4,000 the Next Target?

Ethereum has lost momentum, slipping below key support levels, and bearish signals suggest a potential drop toward the $4,000 mark.

• ETH broke below $4,350 and $4,220, signaling renewed selling pressure.

• The price is currently trading beneath the 100-hour SMA and a key downtrend line on the hourly ETH/USD chart, with resistance forming near $4,350.

Short-Term Outlook:

• Ethereum recently dipped to $4,065 before stabilizing, but it’s struggling to rebound.

• The price is stuck below the 23.6% Fib retracement of the drop from the $4,580 high to the $4,065 low.

• Resistance is building at $4,185, with stronger barriers at $4,320 and $4,350.

• A breakout above $4,350 could spark a move toward $4,385, with further upside potential toward $4,500 or even $4,550.

Downside Risks:

If ETH fails to reclaim $4,320, the downtrend may continue:

• Initial support sits at $4,065, followed by major support near $4,020.

• A decisive drop below $4,020 could open the door for a retest of $4,000, and potentially $3,850 or even $3,620 if bearish pressure persists.

Technical Indicators:

• MACD: Bearish momentum is increasing.

• RSI (Hourly): Below 50, reflecting weakening buying strength.

📉 Key Support Levels: $4,020, $4,000, $3,850

📈 Key Resistance Levels: $4,320, $4,350, $4,385

Ethereum remains under pressure. Bulls need a breakout above $4,350 to reverse the trend, while failure could bring steeper declines. Stay alert.