Ethereum Risks Drop Below $2,600 After Rejection at 21‑day SMA
Ethereum (ETH) is showing renewed downside pressure after being rejected at the 21‑day simple moving average (SMA). Ether fell to a low of $2,600 — a level first seen on November 21 — and is currently trading just above $2,700. Technicals are bearish: moving averages slope downward and the 21‑day SMA sits close to the price, acting as resistance. If sellers break the $2,600 support, analysts expect a further decline toward the 2.0 Fibonacci extension near $2,247. Conversely, a decisive break above the 21‑day SMA would target the 50‑day SMA around $3,458. Key resistance levels noted are $4,500 and $5,000; support levels include $3,000 and $2,500. The report stresses that the analysis is an opinion and not investment advice. (Main keyword: Ethereum; secondary keywords: ETH price, 21‑day SMA, support, resistance, Fibonacci extension.)
Bearish
Price action and indicators point to a bearish outlook. ETH was rejected at the 21‑day SMA, moving averages are sloping down, and the coin is testing a key $2,600 support level. A confirmed break below $2,600 would likely accelerate selling toward the 2.0 Fibonacci extension near $2,247, increasing volatility and prompting short-term downside trades and stop-loss triggers. Historically, rejections at short-term SMAs followed by support breaks (for example during 2022 drawdowns) led to rapid price declines as algorithmic and leveraged positions were liquidated. Conversely, a clean break above the 21‑day SMA would shift momentum back to the bulls and could trigger short-covering and buy orders targeting the 50‑day SMA around $3,458. For traders: monitor $2,600 closely for confirmation — a failure favors short or hedge strategies; a hold and reversal above the 21‑day SMA favors long re-entry. Manage risk with stops and position sizing given potential for accelerated moves.