Ethereum has slipped back toward $2,600 after breaking below the $2,650–$2,730 range that had defined its trading over the past two to three weeks, with analysts watching support levels and momentum indicators for the next signal.

Michael van de Poppe is tracking Ethereum's 100-week EMA, a long-term moving average that weights recent prices more heavily and is widely used to define an asset's broader trend, saying a weekly close below it could signal a deeper correction. Daan Crypto Trades noted that open interest has surged as traders position around the latest downside move.

Ethereum Breaks Below Its Recent Range

Ethereum traded at $2,607.57, down 0.29%, after opening the session at $2,615.64. The price reached a session high of $2,617.17 before falling to $2,606.75, extending a broader decline from recent levels.

Before the latest sell-off, ETH had traded between roughly $2,650 and $2,730. The token climbed from about $2,380 to $2,400 in mid-September, then moved above $2,700 and approached $2,770 around September 22. Since that peak, Ethereum has struggled to hold its gains, and the recent move broke through the $2,700 area, pushing the price toward immediate support at $2,600.

Analysts Watch the $2,600 Support

Van de Poppe said ETH had been moving sideways for an extended period and that a large breakout could follow the prolonged range. He noted that ETH tapped $2,600 before approaching its 100-week EMA, and said a weekly close below that moving average could lead to a deeper correction. (via X)

Meanwhile, Daan Crypto Trades highlighted a sharp rise in open interest following the latest move. He said funding turned negative while spot selling remained strong. Rising open interest generally signals fresh capital entering the derivatives market, while negative funding means shorts on perpetual futures pay longs, a setup that typically reflects leveraged positioning skewed toward the bearish side. According to Daan, the market currently includes both traders buying the dip and shorts adding to downside momentum, and he noted that unchanged prices could lead to another squeeze.

RSI and MACD Show Heavy Selling

Momentum readings underline the selling pressure. The chart (via TradingView) shows the RSI at 29.91 against its moving average at 47.32, with the indicator falling below the traditional 30 threshold, a zone traders generally classify as oversold. The MACD line sits at -15.98, below its signal line at -3.87, while the histogram is deeply negative at -12.10.

If $2,600 fails to hold, the next support levels are $2,500 and $2,400. On the upside, $2,700 remains a key level, followed by resistance around $2,750 to $2,770. Beyond the levels themselves, the weekly close against the 100-week EMA and the evolution of funding and open interest give traders concrete markers for how positioning develops from here.