Ethereum (ETH) has recently been trading near a key support level, and expectations for a rebound after a short-term correction are strengthening. Meanwhile, large-scale withdrawals are occurring on global exchanges, providing a positive signal even amidst price declines.
Ethereum is currently testing the 0.0325 BTC level on the Bitcoin-based trading pair ETH/BTC. This level overlaps with the 20-week moving average and has consistently acted as a strong support line during past bull markets. Market analyst Michael van der Pope describes this range as "the ideal entry point" and emphasizes that it's a good time for long-term holders to add it to their portfolios.
This round of correction is interpreted as a natural fluctuation after recovering recent highs. From a technical perspective, the highs and lows are gradually rising, and the Relative Strength Index (RSI) remains above 50, leading some to believe that the decline may only be temporary. Van der Popper's statement that "no correction lasts forever" suggests a potential market recovery.
On the US dollar benchmark chart, ETH has successfully rebounded in the $3,700 (approximately 3.7 million Korean won) range and is currently trading at $3,850 (approximately 3.85 million Korean won). The weekly decline is approximately 3%. Analyst Lennart Schneider stated that "ETH has regained its footing at the $3,700 support level" and revealed that he is considering both long and short positions based on subsequent price action.
In terms of price pattern, a symmetrical triangle is forming, and ETH is currently searching for direction near the lower support line. A break below the support line could intensify selling pressure, while a rebound is likely to maintain the recent range-bound trading pattern.
Meanwhile, exchange activity is also worth noting. In the past two days, over 200,000 ETH (approximately 7.7 trillion Korean won) have flowed out of centralized exchanges, leading analysts to believe that short-term selling pressure has eased. However, some argue that this could simply be a transfer between internal wallets.
Institutional investor interest is rising. Open interest in ETH futures on the Chicago Mercantile Exchange (CME) reached a record high of 2.25 million contracts, with holding periods ranging from one to six months. This indicates growing institutional demand for Ethereum through regulated markets.
If Ethereum can successfully defend its support line and rebound within the short-term consolidation range, this range could become a medium- to long-term buying opportunity. However, given the continued volatility within the trading range, a cautious approach is still necessary.
