What happened: Ethereum failed to hold the $2,490-$2,500 support zone, breaking out of its daily upward channel. This downward move follows a bearish "Shooting Star" pattern seen at the $2,780 resistance level. Analysts now expect the price to slide toward $2,355, a level that successfully reversed price drops multiple times back in September.
Why it matters: This breach indicates that sellers are currently in the driver's seat. With persistent outflows from US spot Ethereum ETFs and a generally bearish mood across the crypto market, the lack of buying pressure makes Ethereum vulnerable. If the $2,355 floor doesn't hold, the current correction could deepen significantly.