Ethereum dropped below the bull market support band and the $3.1K Fibonacci level, shifting focus to lower support zones. However, the daily structure still holds above the November–December lows as volume builds during consolidation.
ETH breaks under bull market band and $3.1K Fibonacci level
Ethereum slipped below two widely watched technical levels this week as traders tracked renewed downside pressure after a failed push above the $3,100 area.
Chart analyst Luca, who posts as @CrypticTrades_ on X, said Ether fell back under the “2D Bull Market Support Band,” a zone he described as a repeated reversal area in recent months. He also pointed to a break below the 0.618 Fibonacci level near $3,126 and a broader loss of the $3,100 region, which the chart marks as a key point of interest.
Ethereum U.S. Dollar 1D Chart. Source: Luca @CrypticTrades_ on X
As a result, Luca said the next area he is watching sits inside a higher time frame support range shown in green on the chart, around $2,700. The chart highlights prior reactions near that band, with several wicks and bounces forming after earlier sell offs.
Meanwhile, the same chart shows repeated rejection from an overhead resistance block shaded purple, with multiple pullbacks labeled “Breakdown” after price tested that zone. The setup frames the recent move as another drop from resistance, with support levels below now in focus.
Luca said he is staying on the sidelines for now and said he intends to wait for added confirmation before taking a stronger position. He added that a loss of the green support area would, in his view, raise the risk of a deeper pullback.
ETH structure holds above late-2025 lows as volume builds
Ethereum continued to trade above the November–December swing lows, preserving a higher-timeframe base despite recent volatility. On the daily chart, price remains range-bound below the declining moving averages, yet it has not undercut the prior cycle low marked near the late-2025 bottom. That behavior keeps the broader structure intact, even as short-term momentum weakens.
Ethereum U.S. Dollar 1D Chart. Source: Yimin X @yxinsights on X
At the same time, volume expanded beneath price during the consolidation phase. The chart shows rising activity during sideways movement rather than during impulsive sell-offs, a pattern often associated with positioning rather than distribution. While price action looks fragile at first glance, the lack of a decisive breakdown below prior lows limits downside follow-through so far.
The Fibonacci overlay highlights nearby reaction zones, with price hovering around the lower retracement levels while still holding above the zero retrace anchored at the recent base. This placement suggests the market remains in a corrective phase rather than a confirmed trend reversal. Momentum indicators also cooled but stayed within mid-range levels, reflecting consolidation instead of capitulation.
Overall, the chart frames Ethereum in a wait-and-see phase. Price has yet to reclaim key moving averages, but it also continues to defend the structural floor built in late 2025. As long as those lows hold, the setup remains consistent with early accumulation rather than a completed breakdown.
