Ethereum's $3.400 Challenge: Downtrend or Recovery?

Ethereum Struggles With $3.400 Barrier: Downward Spiral Or Chance For Recovery?

5 November 2025 at 13: 45

Reading time: 2 minutes

The price of Ethereum is in a downward spiral, starting with a drop below $3.550. Like Bitcoin ETH is struggling to break the $3.400 barrier, and if the price remains below $3.500, further losses are expected.

After failing to stay above $3.650, Ethereum's price entered a new bearish cycle, dropping below $3.500 and $3.450. This raised doubts about the cryptocurrency's stability, with ETH now clearly showing a bearish picture. The price quickly fell below $3.350 but found some support near $3.050, reaching a low of $3.058. The price is now attempting to consolidate its losses, aided by a limited recovery move above the 23,6% Fibonacci retracement of the recent drop from the $3.920 swing high to the $3.058 low.

Ethereum is currently trading below $3.400 and below its 100-hour simple moving average (SMMA), indicating deteriorating sentiment. Should a significant increase occur, resistance could emerge around $3.350. However, key resistance lies higher, around $3.480, where the 50% Fibonacci retracement of that same recent decline is also located. Furthermore, a bearish trend line has formed, with resistance at $3.450 on the hourly chart of ETH/USD.

Technical Analysis and Forecasts

The first significant resistance level is around $3.500. A clear break above this resistance level could allow the price to rise to $3.550. A further rise above this zone could even result in further gains, with Ether potentially reaching $3.750 or even $3.800 in the near term.

If Ethereum fails to break the $3.500 resistance level, a further decline is likely. Initial support is around $3.250, with the first significant support near $3.200. A significant move below this support level could push the price towards $3.120. Further losses could see Ethereum move towards $3.050. The next major support levels are around $3.020 and $3.000.

When analyzing the technical indicators, we see that the MACD for ETH/USD is losing momentum in the bearish zone, confirming the downward trend. Similarly, the RSI below 50, which is a sign of weakness in the market.

Frequently Asked Questions

What are the main resistance levels for Ethereum right now?
Key resistance levels are at $3.500 and $3.550, where a break could provide bullish momentum.

What if the price falls below $3.200?
A move below $3.200 could lead to further declines, possibly even to $3.050 and below.

How do technical indicators influence market expectations?
Technical indicators such as the MACD and RSI point to bearish momentum, reinforcing expectations for further price pressure towards support.

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