Ethereum has experienced a short-term decline, dropping to $4,164 before testing the lower bound of its support channel near $4,340. Despite this, technical indicators remain neutral but fragile, and investors are holding onto key levels that could trigger further price shifts. 2025’s persistent inflation data, SEC delays on ETH staking ETFs, and increased whale activity have impacted Ethereum’s trajectory. 2024’s bullish bounce off the channel’s support from a low of $3,923 is fading as the asset trades at its current level. Analysts are observing if the price can break through resistance near $4,500 but caution exists as on-chain metrics show accelerating whale activity and potential for volatility in the form of drops to $3,900. 2025’s macroeconomic landscape, including Fed rate cuts and ETF inflows, could contribute to sustained price increases while on-chain analysis points towards a possible head-and-shoulders breakout. However, there are concerns from the recent drop in investor confidence as whale activity has been accelerating with significant offloads since Q3. The market is awaiting further information regarding Ethereum’s integration into ETFs and its potential impact on the price. Traders are advised to scalp longs above $4,340 with stops at $4,300 while investors should consider holding as history indicates a favorable outcome for this asset.