Ethereum has been trading at a critical time since last Tuesday, days after consistent sales pressure that has pushed prices down by more than 12%. Currently, ETH, which has pledged to the $2,400 mark, is struggling to maintain its bullish momentum, and many analysts warn that deeper fixes could continue if the Bulls are unable to defend this critical support zone. The recent decline reflects wider market uncertainty, shaking volatility to shake up investors’ trust, just as ETH appears ready to take part in the broader Altcoin breakout.
Despite this weakness, there is growing optimism in some corners of the market. Top analyst Ted Pillow shared a technical analysis showing that golden crosses are confirmed on Ethereum’s 12-hour chart. This crossover occurs when the 50-period moving average crosses above the 200-period moving average, often indicating the onset of an extended upward trend.
The Golden Cross could be a turning point if the Bulls can retain their current levels and regain a higher resistance of nearly $2,600. Until then, the next few days will be important in determining whether Ethereum can bounce back or sink into a longer integration phase.
Volatility hits Ethereum in the Golden Cross Signal
Ethereum saw a rapid volatility over the weekend, spiked past $2,550 and then quickly turned around, returning to the $2,400 zone within hours. This sudden move has sparked new uncertainty as analysts become cautious about the fierce momentum of decline and rising sales pressure. ETH continues to be one of the stronger performers in the wider Altcoin market, but down 36% from around $4,100 from its December high. This brings a clear challenge for the Bulls. It will retain its current level and regain control by pushing prices above $2,800 and igniting a sustained gathering.
The $2,400 level now serves as an important support zone. A break below that could cause deeper retracements, dragging Ethereum into integration range or even lower levels of support. Still, the technical signal provides something faintly desired.
According to Pillow, Ethereum recently confirmed the Golden Cross on its 12-hour chart. This is a bullish pattern that occurs when the 50th period moving average exceeds the 200th period moving average. Historically, such signals have preceded a powerful upward movement. Pillow believes this can pave the way for Ethereum to reach $3,000 in the short term.
However, for this to happen, the buyer must step in decisively. The volume tapers off, and after last week’s breakdown, emotions appear to be fragile. If the Bulls can defend the $2,400 region and quickly regain higher resistance, the Golden Cross may mark the start of Ethereum’s next leg. Until then, the market will remain in standby mode, looking at whether bulls can outweigh the increased pressure from sellers.
ETH tests critical support after drops from local highs
Ethereum is trading for $2,402 after a sharp sale on Sunday. Prices surged to $2,670, going back more than 10% within 24 hours. As seen on the four-hour chart, ETH is currently above the $2,390-$2,400 zone. This has proven important for the Bull to hold. This area may coincide with previous integrated zones and serve as a short-term support base.
The 200 EMA on the 4H chart is currently at $2,130, while the 200 SMA is close to $1,991. Both are significantly below current prices and offer long-term trend support. However, the volume profile shows a surge in sell-side activity during pullback, suggesting that short-term traders are making profits. If the price falls below $2,390, it will allow for a deeper retreat towards the $2,200-$2,300 range.
The advantage is that ETH must regain $2,550 to reestablish momentum. Otherwise you can check out the local top. Price action is clearly indecisive, and this range-bound structure could last unless the Bulls reassert their strength with a decisive move above $2,600. Until then, the $2,400 level remains a battlefield between buyers and sellers amid rising volatility.
Dall-E special images, TradingView chart
