Despite the successful implementation of the Ethereum Dencun Upgrade last week, the ETH price witnessed strong selling pressure correcting over 10% as it failed to hold the $4,000 resistance. As of press time, the Ethereum (ETH) price trades at $3,574 with a market cap of $430 billion. While Bitcoin witnessed some bounceback during the last weekend, ETH continued to remain in the grip of the bears.
Majority of ETH Holders Are Profitable
In recent trading sessions, the Ethereum (ETH) price experienced a notable decline, slipping over 10% from their recent peak of $4,000. Despite this downturn, a significant portion of ETH holders, comprising 89% of the network, are still in profit, underscoring resilience amidst market volatility.
Key on-chain data from IntoTheBlock reveals potential support levels for ETH’s price trajectory. Notably, the largest concentration of on-chain sell volume is observed around the $3.7K mark, where approximately 991,000 addresses collectively acquired 4.35 million ETH. This suggests a formidable barrier to further price appreciation, with market dynamics poised to pivot around this critical level.
Courtesy: IntoTheBlock
As market participants closely monitor ETH’s price movements, attention remains focused on key support and resistance levels, with the $4,000 range emerging as a significant psychological benchmark.
Ethereum Price Action Ahead
Ethereum’s price trajectory finds it currently trading below the $3,700 mark and the 100-hourly Simple Moving Average (SMA). In the immediate term, resistance looms near the $3,650 level, with a notable bearish trend line forming, presenting a challenge at $3,660 on the hourly chart of ETH/USD.
Looking ahead, significant resistance hurdles emerge near the $3,750 level, representing the 50% Fibonacci retracement level of the recent downward move from the $4,084 swing high to the $3,414 low. Beyond this, the next major resistance lies at $3,830, potentially catalyzing bullish momentum if breached.
Courtesy: NewsBTC
In a bullish scenario, Ethereum could eye a rally towards the $3,925 level. Further upside may lead to a test of the critical $4,000 resistance, with the potential for further gains toward $4,080.
Conversely, failure to surpass the $3,650 resistance may trigger a fresh decline. Initial support is anticipated around the $3,520 level, followed by a more substantial support zone near $3,500. Should selling pressure intensify, Ethereum may target the $3,420 support zone, potentially extending losses towards $3,350 and $3,250 levels.
