Ethereum continues to trade under pressure as sellers maintain control on the 4-hour chart. Recent price movements reflect sustained downward momentum following a sharp rebound from high levels. Market structure remains fragile, but derivatives and spot flow data suggest traders remain cautious. These signals indicate that the market is still searching for stability rather than a firm bottom.
Bearish structure remains solid on 4-hour chart
Ethereum’s 4-hour trend continues to favor sellers as the price remains below key dynamic resistance levels. Lower highs and lower lows remain in place, reinforcing a well-defined bearish structure. Importantly, price continues to hover below the mid-band of the Keltner Channel, highlighting continued downside momentum.
Aggressive selling from the $3,100-$3,300 region signaled a decisive change in sentiment. This movement confirmed the distribution rather than a temporary adjustment.
$ETH Price dynamics (Source: Trading View)
Additionally, the ADX value rising around 64 highlights the strength of the trend and suggests that sellers remain firmly in control. Therefore, the short-term rebound failed to develop into a sustained recovery.
Immediate support is located near the $2,295 to $2,260 zone where buyers were previously attempting to react. However, attention is still focused on the low of $2,160. Falling completely below that level can accelerate losses. As a result, the $2,000-$2,050 area emerges as the next major downside target.
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On the positive side, Ethereum faces multiple layers of resistance that continue to limit recovery attempts. The $2,450 level is the first significant hurdle and coincides with the 0.236 Fibonacci retracement. In addition to that, the $2,635 area represents the previous breakdown zone and the 0.382 retracement.
For further strength, we need to head towards the $2,780-$2,800 area, which coincides with structural resistance and the 0.5 retracement. Moreover, absent a definitive recovery above $2,930, the trend is still unlikely to be invalidated. This level coincides with the 0.618 retracement, indicating a broader trend reversal threshold.
Beware of derivatives and spot flow signals
Derivatives data reveals that a leverage flush has been completed following the bull market in late 2025. During the last rally, open interest surged aggressively, reflecting crowded positioning and speculative excess. But the sharp contraction into early February suggests widespread deleveraging. As a result, liquidation risk is expected to decrease in the short term.
Spot flow data speaks to similar caution. Ethereum has experienced long-term net outflows for most of the observed period, showing a consistent distribution. Although outflows have slowed recently, inflows remain shallow. Furthermore, recent positive net flows suggest early stabilization rather than solid accumulation.
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Ethereum technical outlook ($ETH) price
Ethereum trades within a solid bearish structure on the 4H chart, so key levels remain well defined.
Upside levels include $2,450 as the first reaction zone, followed by $2,635 and stronger resistance hurdles between $2,780 and $2,800. A sustained breakout above this cluster could open room for $2,930, which remains an important trend-busting level.
On the downside, $2,295-$2,260 serves as immediate support, and $2,160 serves as a key swing low. A break below $2,160 risks accelerating losses towards the psychological demand zone of $2,000 to $2,050.
The technical image suggests that $ETH is still in a trend-driven rather than consolidation phase, with strong momentum still favoring sellers.
Will Ethereum go up?
Ethereum’s near-term direction will depend on whether buyers can defend the $2,260 to $2,160 range and regain levels above $2,450. Stronger capital inflows and increased open interest will support stabilization and recovery efforts.
However, if you fail to keep the $2,160, you could be at risk. $ETH Further decline towards $2,000. For now, Ethereum is at a pivotal inflection point, and volatility is expected to remain elevated until a clear breakout or breakdown confirms the next leg.
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