Ethereum Holds Macro Range Despite Losing Weekly CME Gap and Retesting Trend

Ethereum holds its macro range above key support near $3,900 despite losing its weekly CME gap and retesting its trendline.

Ethereum continues to maintain its position within a broad trading range despite recent volatility and a loss of support at its weekly CME gap. The cryptocurrency has retested its multi-year downtrend line, which was broken earlier this year, suggesting that the market is still consolidating before its next move.

Market Structure and Ethereum Price Behavior

Market analyst Rekt Capital noted on X that Ethereum has moved deeper into its macro range between $1,750 and $4,600 after losing its weekly CME gap as support. According to the analyst, Ethereum has tested the green multi-year downtrend line that was broken months ago and remains within the wider range.

Ethereum has risen more than 15% from its recent low near $3,435, now trading above $3,900. The price structure shows a bull flag pattern forming above the 200-day exponential moving average. This setup has often preceded continuation phases in previous cycles. Analysts observe that as long as Ethereum stays above the key support zone between $3,500 and $3,550, the broader uptrend remains valid.

Technical indicators support this stabilization. The Market Value to Realized Value (MVRV) bands show the price hovering near the mean at $3,900, which in earlier periods served as a base for further rallies. Historical data suggests that stabilization at this level often precedes upward moves toward the next resistance band, which is near $5,000.

Ethereum Key Technical Levels and Market Outlook

On the daily timeframe, Ethereum trades between the institutional demand zone near $3,400 to $3,500 and the supply zone around $4,600 to $4,700. After losing the lower boundary of its ascending channel earlier this month, the asset retested that level as resistance. The 100-day moving average near $4,100 now acts as resistance, while the 200-day moving average around $3,100 remains the main structural support.

Short-term charts reveal a descending wedge pattern, which has formed after rejection near $4,200. The pattern’s lower boundary aligns closely with the institutional demand zone, showing that Ethereum is compressing within a narrowing range. A breakout above $4,100 could confirm a shift in short-term momentum toward $4,450 to $4,600. A drop below $3,700, however, could push prices back toward the $3,400 level.

On-Chain and Market Sentiment Trends

Recent on-chain data shows a change in market composition. Since mid-October, Ethereum’s exchange reserves have declined while whale-level spot transactions have increased. This points to accumulation among larger market participants and reduced availability on exchanges. Such conditions often tighten liquidity and may increase price sensitivity to new inflows.

Data from Glassnode indicates that exchange-held Ethereum in USD terms has fallen to one of the lowest levels of 2025. The rise in large spot orders near the $3,900 to $4,000 range signals renewed institutional activity. Market observers note that a similar pattern occurred during late 2020 when accumulation preceded a multi-month rally.

While uncertainty remains, Ethereum continues to trade within its macro range, holding above critical structural supports. The asset’s ability to maintain these levels suggests that the broader upward structure remains in place, even as short-term volatility persists.