Date: Wed, Oct 22, 2025 | 05:50 AM GMT
The cryptocurrency market continues to show choppy momentum, with total 24-hour liquidations reaching $655 million. Of that, $354 million came from long positions while $301 million in shorts were wiped out — a clear sign of intense two-sided volatility.
Amid this turbulence, Ethereum (ETH) has turned red again, slipping back near $3,850 after hitting a 24-hour high of $4,109. The latest technical setup on its lower timeframe now suggests that further short-term downside could be on the horizon.
Source: Coinmarketcap
Descending Triangle Pattern in Play?
On the 4-hour chart, ETH appears to be consolidating within a descending triangle pattern — a formation often seen as a bearish continuation signal. This structure features a series of lower highs pressing down on a horizontal support base, indicating waning buying momentum.
The most recent rejection from the descending trendline near $4,037 has added pressure, pushing prices down to around $3,849. Sellers currently appear to be in control as ETH struggles to reclaim higher levels.
Ethereum (ETH) 4H Chart/Coinsprobe (Source: Tradingview)
What’s Next for ETH?
If downside pressure continues, a breakdown below the $3,822 support range could open the door for a deeper move toward $3,675, representing a potential 4.75% decline from current levels. This move could also weigh on the broader altcoin market, as Ethereum’s price action often influences overall sentiment.
However, if bulls manage to defend the $3,800–$3,820 zone, ETH could remain in consolidation before attempting another test of the descending resistance line. A confirmed breakout above that trendline could invalidate the bearish setup and reignite bullish momentum.
For now, the balance of risk leans slightly to the downside — but as always in crypto, volatility can quickly shift momentum in either direction.
