Ethereum saw a strong sell-off that sent the price straight into a major demand zone near $2,150, which is now the market’s last line of defense. Whether buyers step in here or fail to hold the line could determine whether this move becomes a temporary liquidity surge or the start of a deeper trend shift.
ETH Loses Key Support as Short-Term Momentum Turns Bearish
Michael Van De Poppe noted that Ethereum has fallen below a crucial support zone, signaling increased near-term pressure. On lower timeframes, the price action has become clearly bearish. However, zooming in to higher timeframes, the broader structure remains intact, with ETH still trading within a broader uptrend.
He pointed out that Ethereum likely marked its lowest cycle in April 2025, suggesting that the current weakness could be corrective rather than the start of a sustained bearish phase. At this point, ETH appears to be looking for a longer-term support level that could provide the basis for further upward movement.
Van de Poppe highlighted the 0.025-0.0265 BTC region as a key support zone on the ETH/BTC pair. It is important to note that the recent correction has already retraced more than half of the progress towards this level, increasing the likelihood that demand could occur around this range.
On the positive side, he added that this was a recovery above the 0.0325 BTC level. Although less likely in the short term, it would be a strong signal that bullish momentum is returning and the broader uptrend continues. Despite continued volatility, Van de Poppe remains confident that Ethereum will significantly outperform Bitcoin over time. Thus, it will continue to accumulate ETH at these levels.
Strong Sell-Off Drives Ethereum Towards Significant Demand Near $2,150
In a more recent update, Dami-DeFi highlighted that Ethereum failed to hold the ascending support line near the $2,800 level, which it previously identified as critical. This breakout was confirmed daily, triggering a strong sell-off that quickly pushed the price towards the next major demand area around $2,150.
If buyers are able to defend this level, the recent decline could be interpreted as a liquidity sweep followed by a market reset, rather than the start of a deeper downtrend. In this case, price action would likely move into an unstable consolidation phase, with ETH rebuilding structure between $2,150 and $2,700.
According to Dami-DeFi, a significant bullish move will only come into play if Ethereum can reclaim $2,700 and then establish acceptance above $2,850. Until these levels are restored and sustained, any attempts higher will likely remain corrective, with the market remaining focused on whether demand can firmly step in at current levels.
