Saad Ullah
⬤ Ethereum kicked off with some early gains but quickly reversed course, staying locked within the broad downward channel visible on the 8-hour timeframe. ETH saw a temporary push higher followed by a return to bearish pressure, though nothing dramatic enough to change the bigger picture. The chart shows ETH hovering around the $2,990 mark after a steep drop to the channel's lower edge, signaling that traders are playing it safe ahead of major economic news.
⬤ The chart features a well-defined descending channel outlined by two yellow trendlines, with Ethereum repeatedly bouncing off these levels over the past several months. A series of corrective wave labels—A, B, C, and the most recent E—maps out the structure of the ongoing decline. A green moving average cuts across the chart, serving as a mid-range reference point that ETH hasn't been able to break above lately. Several gray zones mark previous resistance areas near $3,600 and $3,880, which have consistently stopped rallies in their tracks. A blue upward arrow suggests a possible short-term bounce from the lower trendline, though that depends on whether buyers show up with real conviction.
⬤ The Federal Reserve's upcoming rate decision could act as a major turning point for ETH, especially given how sluggish momentum has been recently. Despite the minor continuation pattern, the overall outlook hasn't shifted—price is still following the longer corrective path. The chart also highlights a key resistance zone around $3,447, which could be the first meaningful test if ETH manages a technical rebound. Higher structural levels are still in play but would need a clear shift in trend strength to become relevant.
⬤ This setup matters because Ethereum is sitting at the intersection of technical structure and macroeconomic uncertainty. The interplay between the channel pattern, resistance zones, and the mid-range moving average shows a market that's still hunting for direction while waiting for policy signals. With ETH positioned near the bottom of its multi-week formation, how it reacts to the Fed's decision could determine whether Ethereum finds its footing, stages a recovery, or continues sliding along its broader corrective trend.
Saad Ullah
