Ethereum’s price has come under notable pressure, falling below key psychological and technical levels. The second-largest token entered a corrective phase after a period of sustained upward momentum, triggering renewed concerns across the market. The latest pullback has not only broken the short-term bullish structure but also raised questions about the underlying strength of the current trend. 

Besides, the sudden reversal is catching attention, especially as trading volume remains uneven and larger market participants appear to be repositioning. Currently, ETH is trading around $3,500, having slipped nearly 9% in the past week, prompting questions: Is this just a standard market correction, a bearish breakdown, or something more calculated by savvy investors?

ETH Price Plunge—A Deliberate Move?

Ethereum demonstrated exceptional strength in July by rising over 55% and also closed the month around $3700 for the first time since November 2024. However, the upward pressure began to mount similarly as it happened in December 2024, which raises concerns over the next price action. Moreover, according to some reports, the current price action is speculated to be a deliberate move by big exchanges to accumulate at the local lows and inflate the ETH price back to its previous levels. 

As per the data shared by Ted, the top exchange, Binance, is trying to push the prices lower to liquidate the long positions, which are mounting. The platform has reportedly been doing this for quite some time, and retail investors do fall prey. The analyst has also advised to closely monitor the ETH price around $3,390 as he expects a strong bounce around these levels. 

What’s Next—Will Ethereum Price Rebound to $3,800?

The ETH price has formed a similar pattern that helped the token break above the bearish pattern a few days before. The token had experienced a deviation, a parabolic recovery, that ended in May as the price broke above $2400 and maintained a close consolidation for the next few months. Currently, the price is displaying a similar pattern but in the opposite direction, which is a matter of concern. 

As seen in the above chart, the ETH price tested the resistance level but failed to secure the range. Therefore, it is very important for the token to rise and sustain above the range to avoid confirming this troubling deviation. If the price repeats the inverse playbook, then the possibility of plunging below $3000 emerges. However, in the times when the market conditions are evolving, such drastic price action is unlikely, as the indicators in the long term are about to turn green. Hence, keeping the likelihood of a new ATH above $5000 in play. 

The Ethereum ETFs are signalling massive bullish signals, as out of 31 days, they experienced only a single day of outflow. This suggests a structured accumulation done by the institutions, which suggests it isn’t a retail hype anymore, but a long-term accumulation.  On the other hand, whales have also been closely monitored and are buying ETH. A whale who made nearly $30 million profit in June has again bought 20,000 ETH for nearly $74 million. These on-chain signals suggest the ETH price is primed to resume a strong upswing, which may push the price towards new highs.