Ethereum Loses Bullish Momentum as Price Drops Toward Key Support Levels

Ethereum’s recent price movement reflects a decisive loss of bullish momentum, signaling a shift in market sentiment. Currently trading near $3,230, ETH has fallen about 2.3% in 24 hours, slipping below crucial resistance zones that once hinted at recovery. Earlier this month, Ethereum briefly touched the $3,600–$3,800 range but failed to sustain the breakout, facing intense selling pressure that pushed it lower.

The 200-day EMA, now around $3,600, has turned into strong resistance after previously serving as a recovery base. The daily chart shows a pattern of lower highs and weakening buying interest, underscoring the growing bearish tone. Volume spikes on red candles suggest sellers still dominate, and with the RSI hovering near 31, Ethereum is approaching oversold conditions — but that alone doesn’t guarantee a rebound.

Technically, $3,000 remains a critical support level, followed by a more psychological floor around $2,800. Should ETH fail to defend these zones, a drop to $2,500 could erase most of its midyear gains. Market-wide weakness and fading investor confidence have further dampened ETH’s momentum, emphasizing that cheap does not always mean ready to recover.

For Ethereum to regain traction, it needs renewed demand and broader optimism across the crypto market. Until then, the asset remains vulnerable to further downside pressure. As the momentum battle leans decisively toward the bears, traders and investors alike should remain cautious — momentum, once lost, is notoriously difficult to reclaim.