Ethereum traded below the $3,000 threshold as consolidation patterns emerged across the cryptocurrency market. The second-largest digital asset by market capitalization declined to $2,875 before staging a modest recovery, with technical indicators suggesting potential movement in either direction depending on key resistance levels.

What Happened: Price Decline

Ethereum dropped below $3,050 and continued sliding through support levels at $3,020 and $3,000, mirroring broader market weakness alongside Bitcoin.

The cryptocurrency reached an intraday low of $2,875 after bears pushed prices below the $2,920 support zone.

The asset briefly recovered toward the 23.6% Fibonacci retracement level following the decline from $3,175 to $2,875. Trading activity remained below the 100-hour Simple Moving Average, with a bearish trend line forming resistance near $3,110 on hourly charts.

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Why It Matters: Technical Outlook

A sustained move above the $3,025 resistance level could trigger renewed bullish momentum, potentially driving prices toward $3,200 or $3,250 in the near term.

The 50% Fibonacci retracement level coincides with the $3,025 threshold, representing a critical inflection point for traders.

Failure to breach $3,025 resistance may prompt additional downside pressure, with initial support established at $2,920 and major support at $2,900.

Technical indicators show the MACD losing momentum in bearish territory while the RSI hovers near the 50 zone, suggesting neutral conditions that could shift rapidly based on volume and directional momentum.

A breakdown below $2,900 could accelerate losses toward $2,840 and $2,800, with the next significant support level at $2,765.

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