Ethereum Faces More Downside? $3,500 “W” Pattern Hints at Critical Support

Market Analysis and Technical Patterns

Ethereum forms a potential “W” pattern near $3,500 support, signaling key market testing. Recent price around $3,508 with increased uncertainty about further downside or recovery. Market sentiment is divided with external factors like U.S. midterms impacting outlook.

The crypto analyst Crypto Tony has sparked discussion with a recent chart update on Ethereum ($ETH/USD), suggesting that more dips may be on the horizon. Posted on November 4, 2025, the chart highlights a downward trend, with the price forming a potential “W” pattern near the $3,500 support level.

This technical analysis indicates that Ethereum might experience further decline before a possible rebound, a scenario that has traders and investors closely watching the market. The current price hovers around $3,508.27, reflecting a recent drop, and the chart’s annotations point to a critical zone where selling pressure could intensify.

Divergent Market Sentiment and Trading Strategies

The analysis aligns with broader market volatility, a common trait in the crypto space, especially as Ethereum navigates key support and resistance levels. Crypto Tony’s prediction of additional downside has prompted varied reactions, with some traders viewing it as a buying opportunity for altcoins, while others anticipate a swift recovery.

The “W” pattern, if confirmed, could signal a double bottom, a bullish reversal setup, but only if the price holds above the support and volume supports the move. Until then, patience seems key as momentum remains uncertain.

Outlook for Ethereum’s Price Action

Traders are also debating external factors, such as the upcoming U.S. midterm elections, which could influence market sentiment. Some argue that a dip might test loyalty among long-term holders, while others see it as a chance to accumulate at lower prices.

As Ethereum’s price action unfolds, the community remains divided, with predictions ranging from a drop to $3,100 to an epic rebound. For now, the chart serves as a reminder of crypto’s unpredictable nature, urging investors to stay informed and cautious.