Ethereum ($ETH) recently tapped a key resistance zone around $2,879 before pulling back to $2,760, reflecting a 1.8% drop over the past 24 hours. While this kind of retracement isn’t unusual, there are signals across multiple timeframes worth dissecting to understand whether this is a healthy reset or the start of a deeper dive.
🔍 Key Technical Observations
15-Minute RSI at 17
The Relative Strength Index has plunged deep into oversold territory on the 15-min chart. Historically, levels this low often precede short-term relief rallies — especially when accompanied by rising volume.
MACD Turning Bearish on the 1-Hour
The Moving Average Convergence Divergence (MACD) has flipped bearish on the 1H chart, signaling growing downside momentum. However, this doesn’t necessarily confirm a breakdown — low timeframe MACD often leads price action during volatility spikes.
Volume Spikes on the Dip
Sudden surges in volume during the sell-off suggest accumulation by larger players, or “smart money.” This could hint at underlying support despite bearish indicators.
4-Hour Trend Still Intact — For Now
On the 4H chart, ETH’s broader uptrend remains technically intact, though momentum is clearly fading. Bulls are showing hesitation, and key support levels are now under pressure.
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📌 Levels to Watch
Immediate Support: $2,754
This is the key short-term level. Holding here could open the door for a bounce toward the $2,800–$2,820 zone.
Breakdown Scenario
A clean break below $2,754 could trigger a sharper drop, with the next significant support around $2,670.
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🔄 Reversal Signals to Monitor
RSI reclaiming 30+ on the 15-min or 1H chart would hint at bullish momentum returning.
Bullish MACD cross on lower timeframes could mark the start of a recovery leg — especially if supported by volume.
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📣 Final Take
Is this a correction within a broader bullish trend or the start of a more significant reversal? The coming sessions will be critical. Don’t chase price action — protect capital, stay patient, and let the charts speak.
Your move. How are you trading this setup? 👇