Ether fell sharply in the latest daily session, dropping about $120 in one day, or roughly 4%, as price slipped from the $3,100 area to near $2,984 on the daily close, based on Bitstamp data.
The move followed a rejection near short-term resistance and pushed ETH back below nearby support, marking a clear loss of upside momentum after a brief January rebound.
On the chart, price failed to hold above the $3,100–$3,150 zone, where multiple prior reactions clustered.
As selling accelerated, Ether also moved away from the 50-day exponential moving average, which sat near the mid-$3,100s and had acted as dynamic resistance in recent weeks.
That rejection reinforced the broader pattern of lower highs visible since the October peak.
At the same time, the decline unfolded within a wider consolidation structure. ETH remained above the late-2024 swing lows near $2,880–$2,900, an area that has repeatedly attracted buyers.
A rising trendline from the December low still defines the short-term structure, although the latest candle tested that line and closed just below nearby horizontal support, increasing pressure on that base.
Volume expanded during the sell-off, confirming stronger participation on the downside rather than a low-liquidity drift. Meanwhile, the relative strength index dropped toward the low-40s, showing cooling momentum without reaching deeply oversold conditions.
That combination points to renewed selling control in the short term, while still keeping price inside a broader range rather than signaling a confirmed breakdown.
Overall, Ether’s one-day drop reset short-term positioning. The chart now shows ETH trading below key moving averages and under former support near $3,050, while still holding above the late-2024 floor.
How price behaves around the $2,880–$2,900 area will likely determine whether the move extends or stabilizes within the existing range.
Ether tests key support as daily losses deepen
Ether extended its pullback in the latest session, falling about $192 in one day, or just over 6%, as price dropped from the prior close near $3,188 to around $2,995, based on StockCharts data.
The decline marked one of the sharpest daily moves this month and erased the bulk of Ether’s recent rebound, returning price to a zone that has acted as short-term support since late December.
On the daily chart, ETH traded below the 50-day exponential moving average near $3,158 and remained well under the 200-day average around $3,664, underscoring continued downside pressure in the broader trend.
Price briefly dipped toward the lower end of a rising channel drawn from the December lows, testing support near the $2,950–$3,000 range before stabilizing into the close.
That area now stands out as a near-term pivot after multiple recent reactions.
Momentum indicators reflected the shift. The relative strength index fell to about 40, signaling weakening momentum without entering oversold territory.
At the same time, the MACD remained below its signal line, showing that bearish momentum still dominates despite earlier attempts at recovery.
Volume held steady during the sell-off, suggesting active participation rather than a thin-market move.
The structure now leaves Ether at a decision point. A sustained hold above the late-December trendline would keep price within its current consolidation.
A failure to defend that zone, however, would expose a deeper move toward the April swing lows near the mid-$2,000s, a level highlighted by traders as the next major downside reference if support gives way.
Disclosure:This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Kriptoworld.com accepts no liability for any errors in the articles or for any financial loss resulting from incorrect information.
Tatevik Avetisyan is an editor at Kriptoworld who covers emerging crypto trends, blockchain innovation, and altcoin developments. She is passionate about breaking down complex stories for a global audience and making digital finance more accessible.
📅 Published: January 21, 2026 • 🕓 Last updated: January 21, 2026
