Crypto Markets Down – What's Next?

Markets are sliding, and investor sentiment is shifting toward fear. Across broader capital markets, we’re witnessing turbulent times. Yet, for those equipped with the right information and a disciplined trading strategy, this volatile environment may also present a lucrative opportunity.

At BITmarkets, we previously anticipated a potential decline in the prices of Bitcoin and Solana—an outlook that has now been confirmed by recent market movements.

In today’s analysis, we provide an updated perspective on what to expect in the coming days for Ethereum, including key technical levels that may signal the beginning of a recovery, and what traders should monitor before entering new positions.

Daily time frame analysis

ETHUSD - 1 Day Time Frame

At BITmarkets, we strive to deliver diverse and timely insights across the crypto space. Today, we turn our attention to Ethereum, which is currently experiencing notable downward momentum, mirroring the trend seen in many major cryptocurrencies.

What makes the current setup particularly significant is that Ethereum is now trading just above a key Sell-Side Liquidity level from 2023. This level marks a substantial concentration of pending Stop orders, and if the downward trend continues, this area is likely to be the next target for bearish price action.

Given the prevailing momentum, we expect the bearish correction to persist in the short term. However, any talk of a potential reversal must be grounded in solid technical evidence.

Ethereum price target

From our perspective, the most dependable sign of a structural shift in the market would be a daily close above a key resistance zone. Ethereum has formed several such resistance levels over recent days (highlighted in orange on the chart).

If the price breaks through and holds above one of these zones on the daily timeframe, it could indicate the return of bullish momentum, making Buy-Side Liquidity levels the next logical upside targets.

Until such a confirmation materializes, caution remains advisable, and traders should remain prepared for continued downward movement.