Ether (ETH) has been hovering around $3,000 for three weeks post flash crash to $2,620 on Nov. 21. Traders are wary of further correction if $2,800 support is breached. Lack of futures demand and aggressive selling led to Ether dropping below $3,000, with weak technical setups hinting at $2,300 if support fails.

ETH needs to break resistance at $3,000 and 50-day EMA for a sustained recovery to $4,000. Glassnode heatmap shows resistance at $3,100-$3,250, where 5.9M ETH was acquired. Support is at $2,800, where 5.8M ETH was bought. Futures trading at 3% premium indicates declining demand from leveraged buyers.

Bearish trend in Ether futures aligns with drop in long-term holder supply by 847,222 coins, most since Jan. 2021. This, along with declining Ethereum network fees, keeps ETH below $3,000. Ethereum chain fees reduced by 45% in the last 30 days, with active addresses up by 3.5% and transactions down by 11% in 7 days.

ETH/USD pair confirms bear flag on daily chart, with support at $2,800. Analysts predict a possible drop to $2,300, representing a 22% decrease. Break below $2,800 could lead to correction towards $2,376. Investors should conduct own research before trading.

Read more at Cointelegraph: ETH Risks Drop to $2.3K