According to crypto.news, Ethereum (ETH) was trading at $4,120 on Wednesday morning (Asian time), down 6% from its Friday high of $4,382. Compared to its all-time high of $4,946 reached in late August, ETH is currently down 16.7%.
Over the weekend, Ethereum’s price dropped to a low of $3,574 amid a broader market sell-off triggered in part by U.S. President Donald Trump’s announcement of new tariffs on Chinese goods. The tariffs target critical items such as rare earth minerals and essential software—key components for emerging technologies and AI infrastructure.
While U.S. officials say talks with the Chinese government are ongoing ahead of the November 1 tariff deadline, market sentiment remains cautious. This unease is reflected in the Crypto Fear & Greed Index, which continues to signal “fear,” suggesting investors are staying in risk-off mode until there’s more clarity on trade developments.
Despite the cautious mood in the broader crypto market, Ethereum’s weekly chart tells a different story. From a technical perspective, ETH appears to be forming a highly bullish setup that could pave the way toward a new all-time high if confirmed.
Currently, Ethereum is trading within a bull flag pattern—a classic continuation structure that emerges when prices consolidate within a downward-sloping channel after a strong upward surge. This pattern typically indicates that bulls are regrouping and preparing for the next potential leg higher.
As of press time, Ethereum (ETH) is retesting the lower boundary of its bull flag near $3,875, which currently serves as immediate support. Maintaining this level is critical for preserving the bullish structure.
A breakout above the upper trendline at $4,440 would confirm the flag pattern, likely paving the way for a continuation of the uptrend toward the technical target of $7,245—representing roughly a 76% upside from the current price.
Technical indicators are beginning to favor a breakout. The Aroon Up stands at 42.86%, while the Aroon Down is at 0%, suggesting momentum is gradually shifting to buyers as sellers lose control. Meanwhile, the RSI has cooled from earlier overbought levels and now sits near neutral, signaling room for another leg higher before potential exhaustion.
That said, some volatility could occur on the way up. The weekly liquidation heatmap highlights a dense cluster of long liquidations between $4,100 and $4,250, marking a short-term resistance zone. This area aligns with a previous breakdown level, making it a critical spot where sellers could push back.
If bulls manage to reclaim and hold above $4,250, it could mark the start of a broader reversal. Ethereum could then break free from the recent consolidation range and target the $4,450–$4,600 zone in the short term.
