Cryptocurrency markets remain under pressure as major digital assets, including Ethereum (ETH), have extended their recent declines, with Ether dropping to its lowest level in seven weeks. The ongoing crypto retreat has raised investor concerns amid a volatile macroeconomic landscape and shifting sentiment across the sector.

Ether traded near the $4,533 mark in late September 2025, testing key support levels around $4,500. Technical analysts note that this range is critical, as a sustained break below could see prices correcting further towards $4,000, while a strong move above the $4,650 resistance might trigger a new rally with bullish targets set above $4,950.

Market volatility has increased, driven by mixed technical signals and heightened institutional activity. Weekly inflows into ETH-based exchange-traded funds and robust growth in decentralized finance (DeFi) adoption have contributed to rising market liquidity. Nearly 30% of Ether’s total supply remains locked up in staking protocols, which further tightens available supply and may support price stability if demand rebounds.

However, macroeconomic factors—such as ongoing central bank interest rate adjustments and unpredictable policy outcomes—continue to influence investor sentiment. While recent rate cuts have encouraged positive flows into crypto assets, traders remain wary of sudden market corrections, especially with the imminent protocol upgrade (“Fusaka”) that could bring short-term volatility across ETH markets.

Looking ahead, analysts anticipate that Ethereum will remain at the center of crypto market action. The battle between bullish breakout and bearish correction is likely to hinge on upcoming macroeconomic events and Ethereum’s ability to hold above its current support zones. For investors, the $4,500 to $4,650 range remains pivotal, with risks and opportunities present on both sides of the technical divide as crypto markets continue to respond to global financial signals.