A technical analysis report dated January 16, 2026, presents a bearish outlook for Ethereum (ETH), predicting a potential price decline to the $3,000 support level. The analysis is based on observed market patterns and prevailing sentiment.
The report indicates that Ethereum recently reversed downward after encountering a strong resistance zone around $3,350. This zone is identified as a confluence of several technical factors: the key resistance level of $3,350 (which previously acted as support in October), the upper daily Bollinger Band, and the 50% Fibonacci retracement level of the downward impulse that began in October.
This reversal from the resistance zone is seen as halting the previous short-term bullish impulse wave labeled as wave 3. According to the Elliott Wave analysis cited, this impulse wave is part of a larger intermediate impulse wave (3) that started in November.
Given the strength of the $3,350 resistance level and the broader bearish sentiment observed across cryptocurrency markets on the date of the report, the analysis concludes that Ethereum is likely to continue its descent. The next significant target is identified as the round support level of $3,000, which corresponds to the low of a prior corrective wave (ii).
The report includes a standard disclaimer noting that the views are solely those of the author, do not constitute financial advice, and are not endorsed by the publishing platform. It advises readers to seek independent professional advice before making any investment decisions.
