Critical $3,730–$3,880 Range for Ethereum Price

In recent days, the price of Ethereum, which has caught the attention of investors, partially recovered in the evening hours after a sharp decline during the day. Sales that started at $3,921 on October 30 caused the price to drop to $3,731. However, with the measured purchases that came in the evening hours, the price rose again to around $3,770. The trading volume was realized at %32 above the seven-day average, while the cautious stance of investors led to the price being squeezed into a narrow band.

Macroeconomic data also had an impact on investors. The S&P 500 index in U.S. markets fell by %0.99, while the Nasdaq declined by %1.57, and the volatility index (VIX) rose to 17.22. Jerome Powell, the Chairman of the U.S. Federal Reserve, expressed that a rate cut in December is "not guaranteed," creating a cautious atmosphere in the markets. During this period, the dollar index (DXY) strengthened, rising to 99.52.

Ethereum developers have planned the "Fusaka" upgrade, the most significant update for the network, for December 3. According to CoinDesk, this update aims to improve the network's performance and transaction efficiency. In the short term, it is predicted that Ethereum will trade sideways in the $3,730–$3,880 range.

The sharpest sales during the day occurred when the $3,880 support was broken, at which point the trading volume exceeded the norm by %103. The subsequent measured purchases lifted the price back above $3,760, while analysts indicate that $3,760 represents a critical level. If the price maintains stability above this level, it may rise towards $3,880 and $3,920. However, if selling pressure arises again, it could lead to a drop below $3,700, pulling back to the $3,650 region.

Despite the increasing trading volume, investors continue to search for direction. CoinDesk shares the thought that "a strong direction is hard to establish unless the $3,730–$3,880 range is clearly broken."