Following a three-week-long parabolic bull run, Ethereum appears to have lost bullish steam, as the stochastic indicator in the daily chart shows encroachment into overbought conditions. The second-largest cryptocurrency could spend the coming hours easing the trading tensions as a decline to the $3,400 – $3,300 area looms.

That said, it is advisable to refrain from placing aggressive bullish bets at the moment until we see complete ease off on the stochastic indicator. After this easing period, I expect a jump to the $3,600 top, followed by a return to the $3,800 axis (2022’s peak).

Meanwhile, my resistance levels are $3,600, $3,800, and $4,000, and my support levels are $3,400, $3,300, and $3,200.

Total Market Capitalization: $2.14 trillion

Ethereum Market Capitalization: $418.3 billion

Ethereum Dominance: 19.5%

Market Rank: #2