Amid the recent market recovery, Ethereum (ETH) has retested major levels as support for the first time in a week, with some market watchers suggesting the highly anticipated year-end trade could be delayed for several more weeks.
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Ethereum looks to next key level
On Monday, Ethereum retested its levels after regaining them during Sunday’s rebound. The cryptocurrency has been trading in a range of $3,100 to $3,500 since last week’s market turmoil, and at one point hit a four-month low of $3,057.
Over the weekend, the king of altcoins regained resistance at $3,400, rose about 7% to reach the $3,650 level, and stabilized in the $3,500 to $3,550 range as the new week began.
Daan Crypto Trades noted that the current levels are an important area to maintain in the short term, explaining, “If the bulls can make it happen, they could seek to close some of the inefficiencies created by the recent big flash.”
Nevertheless, Ali Martinez emphasized that with over 869,000 ETH accumulated around the $3,700 level, the cryptocurrency forms a major resistance wall all the way to the $4,000 psychological barrier.
Martinez also noted that the number of mega whale addresses holding 10,000 ETH or more has decreased by nearly 20 over the past week. According to CoinGlass data shared by analysts, 23 of the largest Ethereum whales sold or redistributed their holdings between November 4 and November 8.
Nevertheless, large investors continued to bet on the king of altcoins during the market decline. Tom Lee, CEO of BitMine, asserted that “the recent drop in ETH prices has created an attractive opportunity to buy the cryptocurrency.”
As a result, the company purchased 110,288 ETH worth $400 million last week, increasing its holdings to 3,505,723 million tokens, representing 2.9% of the total ETH supply.
Has ETH’s 4th quarter rise been delayed?
Despite the recent recovery, Ted Pillows suggested that Ethereum may not make new highs this month, claiming that like Bitcoin, “Ethereum does not show any correlation with M2 supply.” The analyst explained that this often happens when the expansion of U.S. liquidity is hampered.
Based on this, he believes the second-largest cryptocurrency by market capitalization could remain strong through the remainder of this month “before taking off in December 2025/January 2026.”
Similarly, analyst Crypto Wolf believes ETH is likely to “clearly hit a high” this month around $3,400-$3,500, and “only after that can we realistically target new ATHs by December.”
Market watchers highlighted that the next major support zone after the recent shakeout is $3,100. If this level holds on the higher timeframe, ETH could build a foundation to retest recent highs. However, the loss of this important area will determine the “beginning of a bear market.”
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Meanwhile, analyst Cas Abbé pointed out that ETH’s recent performance is similar to the price trend in the second quarter. At the time, the altcoin briefly dipped below its multi-month price range, but recovered within two months to rise 100% to new highs.
If history repeats itself, Ethereum is preparing to retest the $3,700-$3,800 resistance in the near future, potentially posting a massive rally by the end of the year.
Featured image from Unsplash.com, chart from TradingView.com