Key Takeaways
What is the short-term Ethereum outlook?
The 1-day chart showed that $3.9k-$4k was an important support zone that should be defended to keep hopes of recovery alive.
What are the key resistances overhead?
The $4,250 and $4,472 were Fibonacci retracement levels. The $4,755 was a local high that should be breached to flip the market structure bullishly.
The Ethereum [ETH] ecosystem dominated the new and active developer stats for 2025, with Solana [SOL] ranking in second place. Their correlation was tight, as well, as revealed by the recent AMBCrypto report.
The outflow of Ethereum from exchanges also buoyed investor confidence. The ETH Exchange Supply Ratio on Binance was 0.033, indicative of investors moving their tokens into self-custody. It was a multi-month low.
Combined with the news of Bhutan’s National Digital Identity anchored on the Ethereum network, investors have reason to maintain a bullish outlook. What do the price charts show for the next ETH move?
Ethereum bulls should not ignore these warning signs
Source: ETH/USDT on TradingView
The weekly timeframe showed a bullish swing structure. The Fibonacci retracement levels were plotted based on this swing move from $1,385 to $4,798. At the time of writing, the bullish breaker block at $4k, highlighted in cyan, was acting as a demand zone.
However, the OBV has dipped below the high from December 2024, even though the weekly price close below $4k has not arrived. This was a warning sign for investors that demand has slowed down in recent weeks. The RSI also remained below the neutral 50.
Looking forward, a weekly session close below $3,712 would be a worrying sign, as it would show bears were strong enough to drive a retracement to $3.1k.
Source: ETH/USDT on TradingView
On the daily chart, the market structure was bearish after the drop below $3,815. The imbalance at $4.2 (white box) has been filled.
The $4,250 level represents the 61.8% Fibonacci retracement of Ethereum’s most recent downward impulse move.
As a result, Ethereum bulls may struggle in the coming days to push prices beyond the $4.2k–$4.4k resistance zone. However, this effort depends on their ability to maintain support above the key psychological level of $4,000.
A drop below $3.9k could see ETH retrace to $3.4k over the next week or two.
