Ethereum’s $2,800 Test Will Set the Tone for Altcoins This October

Ethereum has been stalling around a key make-or-break level for the past week or so. The second-largest cryptocurrency by market capitalization is hovering in a tight range below $2,700, signaling indecisiveness and, to some extent, exhaustion.

Prominent crypto analyst Ted Pillows tweeted:

Image Source: X

According to Ted, the next key price level to watch is $2800. The bulls have an urgent task ahead: break above the key resistance level if they want to keep control of the move. A sustained move above it will allow the bulls to aim for a leg above, and a failure can open the door to a sharp price correction, something that the upward forces need to avoid at all costs. 

Ethereum is currently trading around $2620 at press time. The 100-day Simple Moving Average (SMA) hovers around $2780, while the exponential moving average sits around $2560. The spot level sits between these two levels, giving plenty of motivation to move either way. 

If the bears score a breakthrough, the next price levels to watch are $2,547, $1,965, and $1,713. 

Will it be Uptober or Downtober?

Crypto analysts have long pushed October as a major bullish month. They point out that the month has witnessed net bullish activity in 13 out of the last 10 years. But while bulls may take comfort in this historical trend, last October should be a fresh memory for them, when the cryptocurrency market saw its largest derivatives liquidations in history, forcing an early end to the 2024-2025 bull market worth more than $15 billion. 

This year, October isn’t off to a great start; the first week is often the most important, and major cryptocurrencies are either trading sideways or inching down, which isn’t a good sign. There is still enough time for the bulls to make their presence felt, as they are still holding the levels just below multi-month highs. 

All eyes are currently on BTC and, to some extent, Ethereum, as they are both the major market makers and set the trend for the rest to follow. With ETH’s market dominance and role in decentralized finance remaining significant, the altcoin market’s overall situation hinges on its positioning, which is starting to look vulnerable, if not weak.