TL;DR
- Over the past 24 hours, ETH rose 8.5% and is now trading above $4,100.
- The coin could continue its recovery if the daily candle closes above $4,232.
ETH climbs above $4,100 after sudden Friday crash
Ether, the second-largest cryptocurrency by market capitalization, has staged a strong rebound following Friday’s abrupt crash. The market drop briefly pushed ETH toward the $3,500 area as the token lost more than 30% of its value within an hour.
Since then, the token has gained 8.5% in the last 24 hours and is trading around $4,165 per coin. The sell-off followed an announcement of new tariffs on Chinese imports by former President Trump, which sparked broad market volatility.
Commenting on recent market action, Nick Forster, founder of on-chain options platform Derive.xyz, said option skew for both BTC and ETH plunged on the day of the crash, reflecting a rush to hedge against downside risk. Skew measures relative demand for calls versus puts; a more negative reading indicates stronger demand for puts.
“Volatility spiked sharply across BTC and ETH markets. Typically, sudden sell-offs raise short-term volatility (1–7 DTE) as traders prepare for near-term turbulence that later subsides. However, Friday’s drop elevated volatility across tenors, signalling expectations of prolonged turbulence and a choppier path ahead,” Forster added.
ETH could move higher if the daily candle closes above $4,232 resistance
The 4-hour ETH/USD chart remains bearish and dislocated after Friday’s price action. Last week ETH failed to hold support near the daily $4,488 level and fell more than 20% on Friday. It has since recovered somewhat, closing above $4,150. At the time of writing, ETH is trading near $4,160.
Like Bitcoin, Ethereum’s MACD still leans bearish but could turn as buying pressure mounts. The RSI at 54 sits above the neutral 50, indicating buyers are regaining control of the market.
If ETH sustains its recovery and the daily candle closes above the $4,232 resistance, the coin may attempt a push toward the next key resistance at $4,488. Failure to overcome $4,232 could see ETH extend its decline toward the 61.8% Fibonacci retracement level near $3,593 in the coming days.