“Ethereum at a Crossroads: Bullish Momentum or Imminent Pullback?”

Ethereum (ETH) has been making waves in the crypto market, recording an impressive 47% gain in November. Starting from a support level of $2,400, ETH soared past key resistance at $3,560, ultimately touching a high of $4,000. However, market-wide selling pressure has since pulled Ethereum back to $3,700, underscoring the importance of maintaining support above $3,500.

Current Market Dynamics

Ethereum’s upward trajectory remains intact in the short, medium, and long term, as evidenced by its position above the annual VWAP and key moving averages (50-day and 200-day). Despite this, recent market fluctuations signal a slight weakening in bullish momentum.

In the derivatives market, ETH/USDT perpetual contracts reveal waning speculative interest, with falling open interest and CVD indicating strong selling pressure. Liquidation heatmaps highlight key zones: $4,150 above the current price and between $3,500 to $3,200 below, suggesting heightened volatility ahead.

What’s Next for Ethereum?

• Bullish Scenario: If ETH maintains above $3,500, it could target $4,100 to $4,200, with further resistance at $4,650. A sustained rally could push the price toward $5,000, a 33% gain.

• Bearish Scenario: Failure to hold $3,500 might lead to a retreat toward $3,250, with deeper support at $3,000 and a potential low of $2,400—a 35% decline.

Conclusion

Ethereum’s resilience is evident despite recent headwinds. While technical indicators point to a bullish trend, the market’s reaction to critical support and resistance levels will determine the next move. As always, crypto prices can be volatile, so investors should proceed with caution and closely monitor by developments.

Ethereum’s journey is far from over, and the coming weeks will be crucial in defining its next chapter. #ETHETFsApproved $ETH