On Tuesday, the Ethereum price fell by 8%, following the overall correction in the cryptocurrency market and even outperforming Bitcoin\u2019s (BTC) dip. This has sparked concerns as ETH nears important support levels, putting its $3,000 mark at danger.<\/p>\n
Ram Ahluwalia, the chief investment officer at Lumida Wealth, recently noted <\/a>that the roots of this latest crypto sell-off can be traced back to the Federal Reserve\u2019s (Fed) October meeting.\u00a0<\/p>\n On October 29, the central bank announced its second interest-rate cut of the year. However, during the subsequent press conference, Fed Chair Jerome Powell expressed uncertainty about the possibility of another reduction in December.\u00a0<\/p>\n According to Ahluwalia\u2019s analysis, this has been detrimental to Bitcoin and the overall crypto market, as lower interest rates <\/a>typically bolster speculative assets like cryptocurrencies.<\/p>\n Adding to the ongoing Ethereum price correction, mid-October saw US President Donald Trump announce new tariffs on China due to its restrictions on rare earth exports. This announcement triggered a flight of investors from cryptocurrencies to safer assets such as gold.\u00a0<\/p>\n From a technical perspective, analysts at The Birb Nest have highlighted key levels to watch. On social media platform X (formerly Twitter), they noted <\/a>that the Ethereum price broke below a critical weekly support level, which they interpret as a major deviation until price action proves otherwise.\u00a0<\/p>\n They highlighted that a breakdown below the altcoin\u2019s yearly open of $3,337 might push the Ethereum price to $2,800. For a positive reversal, they believe ETH must retake $4,000 and close above this level on a weekly basis.<\/p>\nEthereum Price Under Pressure<\/h2>\n