- Ethereum’s price has dropped from $3,700 to $3,600, aligning with earlier forecasts
- Possible scenarios include further drops for liquidity grabs or a rebound after testing demand zones
- Crypto markets remain unpredictable—analysis highlights probabilities, not guarantees
Ethereum (ETH) took an interesting turn, dropping from $3,700 to $3,600 after reacting to a demand below liquidity, a move that aligns with one of the scenarios we discussed in last Thursday’s (28 November) update.
“On the flip side, if buyers hold strong, ETH could blast through the current zone and aim for fresh highs.”
While this price action wasn’t entirely unexpected, what lies ahead remains uncertain. Let’s dive into the potential paths Ethereum might take next.
Possible Scenarios for Ethereum’s Price Movement
As always in the crypto market, the possibilities are endless. Here are the most plausible alternatives based on the current structure:
- A Dip to Grab Liquidity
Ethereum could drop further to target liquidity sitting near the left of its current structure. After scooping up that liquidity, the price may climb, potentially retracing into a supply zone before resuming its downward trajectory.
- A Deeper Pullback
There’s also the possibility that Ethereum could break below current levels entirely, heading toward deeper demand zones we discussed in Thursday’s article. These zones could provide support and trigger a rebound, depending on market dynamics.
- The Unpredictable Nature of the Market
Let’s be honest—markets have a way of doing the unexpected. While we can analyze patterns, liquidity levels, and demand zones, Ethereum’s price could move unpredictably.
A Word on Liquidity and Supply/Deman
For those unfamiliar, liquidity grabs occur when the price moves to collect pending orders or stop-losses in a specific area, only to reverse afterward.
Supply and demand zones, on the other hand, represent areas where buying or selling pressure is historically strong. Both are critical concepts when analyzing crypto price movements.
The Only Certainty is Uncertainty
No one has a crystal ball. While the scenarios outlined above represent possible outcomes, they’re not guaranteed. Ethereum could surprise us all, moving in ways no one expects. That’s the beauty—and the challenge—of trading.
Disclaimer:
This article is for informational purposes only and does not constitute financial advice. Always do your own research and trade responsibly.
What do you think? Are we heading for a rebound or deeper demand zones?
