$ETH (ETH) has experienced a sharp sell-off after failing to sustain above the $3,150–$3,170 resistance zone. The price has now dropped to around $2,995, breaking the important $3,000 psychological level, which has triggered panic selling and increased market volatility.
The chart clearly shows strong bearish momentum, supported by large red candles and a significant spike in selling volume. This indicates aggressive distribution and weak short-term buyer confidence.
💥 Key Technical Observations
💥
$ETH faced strong rejection near $3,170
Consecutive long red candles confirm bearish dominance
Breakdown below $3,000 psychological support
High volume suggests institutional or large-player selling
Market sentiment is currently short-term bearish
This type of price action usually signals either a deeper correction or a liquidity sweep before a reversal.
💥 Important Support and Resistance Levels
Support Zones to Watch:
$2,980 – $2,950: Immediate short-term support
$2,900 – $2,850: Strong demand and accumulation zone
$2,750: Major structural support
💥 Resistance Levels:
$3,050 – $3,100: First recovery resistance
$3,170: Strong supply zone
$3,300: Trend continuation level
If
$ETH fails to reclaim $3,050 with volume, further downside pressure may continue.
💥Volume Analysis – The Key Signal
The sharp increase in red volume candles confirms strong selling pressure, not just a normal pullback. However, traders should closely watch what happens near support:
Decreasing volume near support → Selling exhaustion
Strong green volume bounce → Possible reversal
Continued high red volume → Further downside likely
Volume will decide the next major move.
💥 Market Structure & Trend Outlook
Short-Term Trend: Bearish
Mid-Term Trend: Neutral to bearish
Long-Term Trend: Still intact unless $2,750 breaks
This move currently looks like a corrective phase, not a complete trend reversal — but confirmation is still needed.
💢 Is This a Buy Opportunity or a Trap?
✨ For Long-Term Investors:
Corrections like these often provide better risk-reward entries, but buying in phases (DCA) is safer than lump-sum entries.
✨ For Short-Term Traders:
Avoid emotional trades. Wait for:
Support confirmation
Bullish candle structure
Volume validation
Catching falling knives without confirmation is extremely risky.
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