Ethereum's Support Level Test: A Warning for Traders

Ethereum's price is currently at $2,889, testing the support level of $2,749. However, many traders are making common mistakes when it comes to trading the Ethereum support retest.

One key error is treating support and resistance as exact price points instead of broad zones. This can lead to entering trades too early, exactly where other participants plan to sell.

The bearish trend persists, with the MACD lines remaining in negative territory and the RSI currently sitting at 41, below the neutral 50 level.

If Ethereum closes its daily candle below $2,749, the correction could extend towards the November 21 low of $2,623. Traders should be aware of the volume analysis and not ignore it, as price action alone lacks confirmation.