Ethereum has gained 3.5% in the past 24 hours, pausing a steep decline that has wiped nearly 39% from its value this quarter. Despite the rebound, ETH remains more than 11% below last week’s levels, and the broader trend remains downward.
Still Oversold
Relative Strength Index (RSI) readings remain in oversold territory – 31 on the 14-day and 28 on the 7-day – indicating prolonged downward momentum. In past cycles, similar RSI setups have preceded local bottoms, but a sustained shift would typically require a climb above the 40 level on both timeframes. Until then, traders remain cautious.
Price has moved back toward the lower Bollinger Band near $2,686, hinting at short-term exhaustion in downward momentum. Key technical levels remain in play: $2,624 marks a full retrace support zone, while $3,123 stands as the next major resistance from the 78.6% Fibonacci retracement.
The Fear and Greed Index also indicates oversold conditions, signaling “Extreme Fear” on the crypto markets – however, this state has been holding for over a week now, which might be a sign of weakness, not a brief dip.
Read also: How To Use Crypto Fear and Greed Index To Your Advantage?
Fusaka Upgrade Set for December 3
Attention is now turning to Ethereum’s next major protocol upgrade. Fusaka is confirmed for rollout on December 3, following testnet deployments on Holesky, Sepolia, and Hoodi. Its core feature, Peer Data Availability Sampling (PeerDAS), allows validators to verify data without downloading full datasets. This is expected to reduce hardware demands and improve efficiency for rollups by lowering blob data costs.
The upgrade also raises Ethereum’s block gas limit from 30 million to 150 million, allowing more transactions per block. Several other Ethereum Improvement Proposals (EIPs) included in Fusaka target performance and long-term scalability.
Read also: Can Ethereum’s Fusaka Upgrade Trigger a Price Rebound?
Caution Remains
The current bounce has brought Ethereum closer to key technical levels but hasn’t yet reversed the broader trend. RSI remains oversold but subdued. Bollinger Bands are beginning to stabilize, and Fibonacci retracement levels are being watched for potential resistance or support.
The upcoming Fusaka upgrade may act as a mid-term catalyst, particularly if it leads to increased developer activity or improved rollup efficiency – as Pectra did. However, price action will also depend on broader market conditions and macroeconomic factors.
