Ethereum has been fluctuating between $2,900 and $3,000 recently, and the situation is a bit awkward. The price once surged close to $2,990 with an attempt to break through but was pushed back down, indicating that quite a few people are looking to sell at this level.

From the broader market perspective, although ETF inflows have been ongoing, there are also waves of traders taking profits. Bulls and bears are confronting each other fiercely here. Additionally, if Bitcoin continues to be suppressed below $87,000, the overall market risk sentiment will weaken accordingly, and Ethereum won't be able to escape this trend.

On the technical side, the 4-hour chart has formed a consolidation pattern. The support level below is at $2,890, which must be held; the resistance remains at the $3,000 mark. Currently, there are no signs of volume expansion, making it difficult to see a strong trend developing in the short term.

The network upgrade is beneficial in the long run, but recently it has lowered transaction costs, which could attract more high-frequency traders, leading to increased volatility—this is a hidden risk to watch out for.

In terms of trading strategy, the current approach is mainly to wait. The key is whether the $2,890 support line can hold. If it can stabilize here, there’s still a chance to test the $3,000 level upward; if it breaks with increased volume, be prepared for a larger correction. Until a clear volume breakout is seen, it’s safest to remain cautious.