Ethereum’s Downtrend Accelerates After Breaking Key Supports

In today’s technical analysis, let’s focus on Ethereum (ETH), which has been under heavy selling pressure recently. The decline has been unfolding since mid-August, but the bearish acceleration came just recently after a decisive breakout below the blue horizontal support around $3,700. That move triggered a wave of selling, sending Ethereum below the psychological $3,000 mark, representing a drop of more than 20% from the recent highs — a clear confirmation of strong bearish momentum.

What’s also technically significant is the break of the black dynamic uptrend line, which had been supporting Ethereum for several months. This breakout adds further confirmation of the bearish sentiment and sets the stage for continuation of the decline. The next major target for sellers lies near the green horizontal support around $2,900, with a potential extension toward $2,875. Given the momentum and market tone, the probability of reaching that level is high, especially if sellers maintain control throughout the week.

On the other hand, for the sentiment to improve, Ethereum would need to climb back above both the black uptrend line and the blue horizontal resistance — a scenario that currently seems less likely given the prevailing market conditions. For now, the path of least resistance remains to the downside, and traders should watch the $2,875–$2,900 area closely as a potential zone for a temporary bounce or profit-taking by short-term sellers.

Source: https://www.axiory.com/analytics/technical-analysis/ethereum-s-downtrend-accelerates-after-breaking-ke