Ethereum Price Prediction: Bullish Recovery or Short-Term Trap? Ethereum ($ETH) is trading at $3,550, recovering from a recent drop that tested support just above $3,500. After a multi-week rally that peaked below the $3,838 resistance, the chart suggests ETH is consolidating—but is it ready for another leg up, or will we see more downside? ETH Coin Holding Above Key Support After reaching a local top near $3,838, Ethereum retraced and found support around the $3,530–$3,550 zone. This area has become a crucial short-term demand level. The bounce here is encouraging, especially with the daily candle forming a higher low relative to the July lows. ETH/USD 1-day chart - TradingView The 50-day SMA is currently at $3,012, which acted as dynamic support during the June-July rally. As long as ETH stays above this level, the bullish structure remains intact. Major Levels to Watch From the chart: Resistance:🔼 $3,838 (Recent High)🔼 $3,620 (Minor Horizontal Resistance) Support:🔽 $3,530 (Current Support)🔽 $3,200 (Key Horizontal Support)🔽 $3,012 (50-Day SMA)🔽 $2,732 (Strong demand zone) Losing the $3,530 level could open a retest of $3,200. Below that, $3,012 becomes the make-or-break level for bulls. RSI Suggests Potential Momentum Rebuild The 14-day RSI recently cooled off from overbought territory, now sitting around 56.05. This suggests there's still room to move higher before ETH becomes overheated again. Importantly, RSI bounced after a clean test of the 50-level—historically a good sign of bullish continuation during trending phases. ETH vs. Bitcoin: A Correlation to Monitor While Ethereum is holding support, it’s worth noting that Bitcoin is still consolidating near its support levels between $112K and $115K. If BTC breaks lower, ETH could follow—even if its own chart looks healthy. The macro environment is also a factor: with the broader crypto market pulling back slightly this week, caution is warranted before assuming an immediate breakout. Ethereum Price Prediction: $3,200 or $3,838 Next? Given current chart structure and momentum: If ETH holds above $3,530 and gains strength, the next target remains $3,838, with a breakout possibly taking ETH to $4,000+ in a new leg. If ETH loses $3,530, the price may drop to $3,200, and potentially down to the $3,012 SMA support zone. Bias: Neutral-to-bullish while above $3,530. Bullish confirmation only if ETH closes daily candles above $3,620.