Ethereum (ETH) has swept liquidity below $2,100, triggering speculation that the second-largest cryptocurrency could be gearing up for a strong comeback. After a brief dip, analysts suggest ETH might be preparing for a bullish reversal as market conditions stabilize.
What Happened?
Ethereum recently dropped below the $2,100 support level, liquidating long positions and clearing out leveraged traders. This liquidity sweep is often seen as a strategic market move to reset price action before a potential upward rally.
On-chain data shows that the majority of liquidation orders were concentrated below $2,100, clearing weak hands from the market.
Why Is Ethereum Poised for a Comeback?
Several factors indicate Ethereum could bounce back:
- Institutional Accumulation: Whales have been accumulating ETH during the recent dip.
- ETH ETF Speculation: Growing anticipation for an Ethereum spot ETF approval in the U.S.
- Network Growth: Ethereum’s DeFi ecosystem and staking demand continue to expand.
- Technical Rebound: ETH is currently testing key support zones, with a potential bounce toward $2,300.
Analysts’ Predictions
✅ Bullish Scenario: If ETH holds above $2,100, the next target could be $2,300–$2,400 in the short term.
❌ Bearish Scenario: A failure to reclaim $2,100 could trigger a deeper correction toward $2,000.
Conclusion
Ethereum’s liquidity sweep below $2.1K might be a healthy reset for the next rally. With on-chain signals turning positive and institutional interest rising, ETH could be primed for a strong comeback in the coming weeks.
However, breaking key resistance levels will be crucial for confirming a bullish reversal.
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