$ETH Snaps Back After Sell-Off – Recovery or Just a Dead Cat Bounce?
Ethereum is trading at $3,838 after a sharp intraday drop, followed by a quick rebound from near $3,837 support. With heavy volume on the bounce, ETH is now eyeing a retest of broken resistance levels.
Key Levels to Watch
• Resistance Zone: $3,860 – $3,878
A move above this could confirm strength and signal a continuation.
• Support Zone: $3,835 – $3,820
Losing this level again may extend the correction further.
Trade Setup – Bounce at Key Demand Zone
Bullish Scenario
Entry: Break and close above $3,860
Target 1: $3,890
Target 2: $3,940
Bearish Scenario
Entry: Drop below $3,835
Target 1: $3,800
Target 2: $3,750
ETH just printed a strong reaction candle with rising volume—keep an eye on follow-through momentum to confirm if this recovery has real legs.