Ethereum is in a critical situation after breaking below a major range support level. if $ETH Analysts say this breakdown could turn into a bear trap and open the door to a stronger rebound.
Ethereum whale remains silent, analysts see potential for sudden move
Ethereum may be bracing for increased volatility as on-chain data suggests large holders are not actively placing sell orders.
According to analyst CW, this chart shows no significant movement. $ETH There is a wall of whale selling, and selling pressure from major holders appears to be limited. Data shows that while Ethereum is trading around $1,682, liquidity remains relatively balanced, raising the possibility of a stronger move if whales start accumulating or return to the market.
$ETH Whale order flowchart. sauce: CW (@CW8900)
This visualization highlights significantly higher liquidity on the buy side below the current price, as represented by the green zone, while levels above show relatively light pressure on the sell side. The analysis said the absence of aggressive sell orders from large holders has alleviated one potential obstacle to upward momentum.
However, this setup does not guarantee quick recovery. The suspension of whale activity could last for a long time, and broader market conditions will still influence the direction of Ethereum.
For now, traders are waiting to see whether major holders will remain on the sidelines or initiate a move that could trigger a significant price expansion. Analysts argue that with limited visible selling pressure, Ethereum could soar if buying interest accelerates.
Ethereum failure or bear trap? Analysts focus on deviations
Ethereum may be approaching a pivotal moment after breaking below a key range support level, raising the question of whether this move signals a continuation of the downtrend or a possible bear trap.
According to CryptoWZRD, $ETHThe /USD daily chart shows the price trading below the lower end of its previous range around $1,743. Analysts believe that if Ethereum can regain this level and turn the current breakdown into an outlier, the rally could continue toward the highs of the range around $2,400.
$ETH/USD daily chart. sauce: CryptoWZRD via TradingView
This chart shows Ethereum falling below the established trading range before stabilizing within the lower support zone. In market structure analysis, deviations occur when the price briefly breaks through an important level but quickly returns to the previous range, trapping traders looking for a continued breakdown.
According to our analysis, a recoup of $1,743 would be the first sign that sellers are losing control. A successful recovery above this threshold could invalidate the bearish setup and return the focus to the highs of the range around $2,400.
However, the bullish scenario remains unconfirmed. If Ethereum is unable to regain lost support, its breakdown could simply signal another pullback within the broader macro downtrend.
For now, traders are focused on whether Ethereum can turn the recent decline into an aberration that forces the bears to exit, or whether sellers maintain control of the trend.
