# Ethereum Price Analysis: Testing Critical Support Levels Amid Correction Ethereum faces downward pressure as it tests the $2.36K support confluence zone. - **Source:** [CryptoPotato](https://brifing.si/source/bd22636b-ec8d-42a8-8cca-1937c50e0f6c) - **Published:** 2026-10-18 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/cc10a4c6-2c52-4456-a3ee-7e1ebd46d546 ## Current Market Structure Ethereum is currently testing a critical support confluence between $2.36K and $2.44K. While buyers have attempted to defend this demand zone with sharp reactions, the asset continues to form lower highs. This persistent pattern suggests that selling pressure remains dominant, keeping the immediate price outlook fragile for traders and investors. ## Daily Chart Dynamics On the daily timeframe, ETH has declined into the lower boundary of a broader ascending channel. Recent lower wicks indicate buying interest beneath the consolidation, yet these movements have failed to trigger a sustained recovery. Reclaiming the $2.44K boundary is essential for buyers to challenge the $2.5K to $2.56K resistance area. ## Four-Hour Bearish Trend The 4-hour chart reveals Ethereum trading within a descending channel following an early-October selloff. Repeated rebound attempts have failed to break the upper trendline, which currently acts as resistance near $2.45K to $2.47K. A breakout here is required to interrupt the bearish structure and target the $2.5K to $2.58K range. ## Downside Risk Scenarios A decisive daily close beneath the $2.36K support level would invalidate the broader ascending channel structure. Such a breakdown would likely increase the risk of a deeper correction toward $2.2K. If the current support fails, the market may expose recent wick lows near $2.32K before testing the deeper $2.2K to $2.27K zone. ## Liquidation Heatmap Analysis The one-month liquidation heatmap reveals a substantial cluster of potential liquidations around the $2.15K to $2.2K range. This concentration of exposure remains visible across multiple sessions, sitting just above the psychological $2K threshold. It highlights significant potential for forced-selling if the price drops below the current $2.36K support level. ## Liquidity Pool Significance The identified liquidation cluster is particularly relevant due to its proximity to the $2.2K to $2.27K technical demand zone. While this cluster represents potential forced-selling exposure rather than a guaranteed price target, it could accelerate downward momentum if triggered. Sustained recovery above nearby resistance would effectively reduce the relevance of this liquidity pool. ## Recovery Path Requirements To improve market strength, Ethereum must first reclaim the $2.44K demand boundary. Following this, the asset needs to overcome the $2.5K to $2.56K resistance zone to shift the momentum. Successfully holding the current confluence could support a recovery toward the former consolidation range, which is situated between $2.67K and $2.74K. ## Market Outlook Summary Ethereum remains in a precarious position as it navigates a descending channel and tests critical support. The interplay between technical demand zones and liquidation clusters suggests high volatility ahead. Investors should monitor the $2.36K level closely, as its breach could signal further downside, while a breakout above resistance would signal structural improvement. ## Sources covering this story - https://cryptopotato.com/ethereum-price-prediction-is-eths-7-weekly-drop-just-the-start/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._