Ethereum News Today: Ethereum's $3K Support Showdown: Stabilization or Continued Slide?

Ethereum's price action has intensified as the cryptocurrency tests critical support levels amid escalating selling pressure, with analysts closely monitoring whether buyers can stabilize the asset or if further declines toward macro demand zones will unfold. The $3,000–$3,050 range-historically a catalyst for past rallies-has emerged as a focal point, with technical and onchain indicators suggesting a potential inflection point in the near term.

On the daily chart, Ethereum remains trapped within a descending structure, approaching the $3,000–$3,050 demand block that previously fueled a July–August rebound. This zone coincides with the lower boundary of a falling wedge, a pattern often signaling late-stage corrections rather than new trends. The failure to reclaim the 100-day moving average near $3,800 has triggered a sustained selloff, with the 200-day moving average now sitting above price for the first time since early summer. While medium-term momentum weakens, the clustering of support factors around $3,000 suggests sellers may struggle to maintain dominance if stabilization occurs according to technical analysis.

Shorter-term dynamics on the 4-hour chart reveal Ethereum trading within a descending channel, with compressed volatility and extended downside wicks indicating absorption near key demand thresholds. The $3,000–$3,100 region has been repeatedly tested, forming a reaction zone where algorithmic trading activity often concentrates. A break above the $3,250–$3,330 imbalance window could spark a corrective rally, but the broader bearish structure persists until Ethereum reclaims the channel midline near $3,350 according to technical analysis.

Bearish momentum remains intact, according to a separate analysis, with Ethereum confined to a deeply compressed downtrend marked by repeated rejections from lower-high resistance. The $3,000–$3,100 demand block has stabilized, supported by a positive RSI divergence that signals slowing bearish momentum. However, without a rebound above $3,450–$3,550, the path to the $2,600 macro demand zone remains open.

Onchain data underscores a shift in order flow, with the latest decline from $4,100 to $3,000 dominated by smaller retail orders rather than large institutional activity. This pattern mirrors prior capitulation phases, where retail liquidations cleared the way for accumulation by larger players. Futures liquidation heatmaps show a dense band of long positions concentrated around $3,000, historically preceding temporary recoveries as excess leverage is unwound.

The liquidation heatmap also highlights a critical imbalance between $3,600 and $3,900, a region that could become a gravitational pull if buyers reclaim the $3,450 level. Below $3,000, liquidity thins, suggesting any further drop would likely be sharp but short-lived, driven by stop-loss triggers rather than sustained selling.

For now, Ethereum's trajectory hinges on its ability to defend the $3,000–$3,100 zone. A daily close below $2,950 would invalidate wedge support and accelerate the descent toward $2,600–$2,700, while a sustained rebound above $3,350 could reignite a corrective rally. With onchain indicators hinting at potential capitulation and technical levels tightly clustered, the coming days will be pivotal in determining whether this phase marks a cyclical bottom or a continuation of the broader downtrend.