NewsBTC reports that Ethereum, after a robust rally that took it to a local high of $2,730, has dipped by over 10%, currently testing crucial support levels as the crypto market cools down. This price correction follows several days of intense buying activity and rising hopes for an expansive altseason. The recent pullback has instigated discussions among analysts and traders, who are now divided between anticipating another price surge and preparing for a deeper correction.
Some analysts view this pause as a healthy and necessary condition before Ethereum can continue its upward trajectory. Others, however, suggest that ETH might revisit lower zones, particularly if Bitcoin continues to fluctuate within a certain range. Top analyst Daan has offered his perspective by examining the ETH/BTC pair, noting that Ethereum, after its significant upward move, is now facing resistance around the 0.026 BTC mark.
As Ethereum hovers far below its all-time high and is trapped in a broad macro range, the upcoming days could be critical. Whether this is a mere short-term cooldown or the beginning of a larger correction, Ethereum’s current levels will likely dictate the momentum entering the next phase of the market.
Ethereum remains resilient despite the recent volatility, keeping its position above the $2,400 mark. This zone is now crucial support, and bulls must defend it to maintain the wider bullish momentum. Despite cooling off slightly following its sharp run to $2,730, ETH remains one of the stronger performers in the market, holding up well amid increased uncertainty and speculative positioning.
Daan has provided insights into this dynamic, focusing on the ETH/BTC ratio, which has shown considerable strength in recent sessions. According to Daan, for the bullish momentum to continue, ETH must hold above 0.0224. A break below this critical support could trigger a slow bleed and potentially unwind the entire recent move. Conversely, a clear break above 0.026 would pave the way for a move toward 0.03 and possibly higher.
In summary, Ethereum’s short-term direction will likely be determined by its ability to hold $2,400 and maintain strength against Bitcoin. If both conditions are met, the case for a prolonged altcoin rally becomes significantly stronger.
