Ethereum Pulls Back After Approaching $4,800 – What’s Next?

Ethereum (ETH) has cooled off after a strong run, slipping around 10% from recent highs near US$4,800. The move has brought price back toward some familiar support levels, leaving the market asking the usual question: Is this just a healthy pullback, or the start of something bigger?

ETH’s rally stalled right around its old all-time highs, with heavy selling (likely profit-taking) knocking the price back to the US$4,200 zone. That level now stands out as the key line in the sand. Hold above it, and the bullish trend is still alive. Lose it, and we could be looking at a deeper dip toward US$3,800.

Momentum has cooled, too. The Relative Strength Index (RSI), a basic measure of overbought/oversold, has rolled over, which usually points to some near-term consolidation or correction.

Zooming in, ETH’s run into US$4.8K looks like a textbook “liquidity grab”, sucking in late buyers before flipping lower. That reversal broke a recent higher low, so the structure has softened a bit.

Right now, ETH is chopping between supports at US$4.2K and trendlines that stretch back months. If it can hold here and reset, the bullish case remains. If not, $3.8K is the obvious next stop.

This market is still running on liquidity hunts. Last week, ETH tapped the liquidity sitting above US$4.8K, and now traders are watching the cluster of stops sitting just below US$3.8K. If price drifts lower, don’t be surprised if it runs those levels before bouncing.

Ethereum remains in a broader uptrend, but the short-term picture is messy. Expect chop, stop runs, and a few false starts before the market decides its next leg. For now, US$4,200 is the battleground.

As always, crypto volatility can cut both ways: opportunity on the upside, risk on the downside. That’s why many of our clients pair exposure to ETH and BTC with hard assets like gold and silver, which historically provide stability when markets get whippy. With both crypto and metals markets running hot, keeping balance across both sides of the portfolio has rarely been more important.