The first quarter of the year was relatively challenging for Ethereum, with the price declining by more than 45%. This phase was followed by stabilization and then a strong rally of over 200%, pushing the asset above its previous all-time high. Currently, Ethereum is moving within a sideways correction, raising important questions about its potential trajectory for the final quarter of 2025.

Ethereum technical analysis

ETHUSD - 4 Hour Time Frame

At the beginning of the week, Ethereum fell by nearly 9%, accompanied by a sweep of Sell-Side Liquidity below both the September low and the August 21, 2025 low. During this move, the price came close to another significant low, suggesting that further liquidity accumulation could still be withdrawn in the near term.

On the other hand, with multiple lows already taken, it is also possible that enough liquidity has been cleared to support a renewed upward move.

If price action on the four-hour timeframe turns higher, a close above the resistance zone marked in orange on the attached chart could be a decisive signal. This area currently reflects bearish price delivery, but if broken, it could shift to bullish delivery.

Ethereum price target

Potential targets may include Buy-Side Liquidity levels along with the psychological milestones of $5,500 and $6,000. A protective Stop Loss could be considered below the internal low currently forming to manage downside risk.

That said, conditions may still change. Ethereum could retest lower levels in search of additional Sell-Side Liquidity, during which a new resistance zone might form. In that case, the entry framework would shift toward that newly created zone. Market participants should remain cautious as the structure continues to evolve.