Analyst Says Ethereum in a ‘Complicated Spot,’ Names Support Level ETH Must Hold To Avoid Triggering a Breakdown

Cryptocurrency analyst Rekt Capital has expressed concern about the current state of Ethereum (ETH), stating that it is in a “complicated spot.” Rekt Capital warns that ETH may experience a significant decline below $3,000 if it fails to hold a key level. Drawing on historical precedence, the analyst highlights the rejection from the $3,956 resistance level, which occurred previously as well. Rekt Capital believes that Ethereum needs to maintain support at around $3,342 to avoid triggering a breakdown that could potentially push the price down to $2,700. However, even if ETH experiences a dip into the $2,000s, the analyst remains long-term bullish on the cryptocurrency. Reclaiming the orange boxed area as support is crucial for the continuation of an uptrend. Despite short-term fluctuations, Rekt Capital emphasizes that the macro uptrend for Ethereum remains bullish, offering opportunities for dollar-cost-averaging in the long run. At the time of writing, ETH is trading at $3,340, reflecting a decrease of more than 4% in the last 24 hours.