🔷Ethereum continues to defend its key support around $4,120, recovering from last week’s drop. Despite BlackRock’s $205M sell-off, ETH has climbed back to retest resistance at the 20-day EMA near $4,262. The price action shows a squeeze between support and nearby resistance, while momentum indicators are gradually stabilizing.
🔷The main catalyst, however, could be the $10B cluster of short positions above $4,359. A breakout here could trigger a major short squeeze, opening the way toward $4,515–$4,600. On the flip side, losing $4,120 would increase the risk of a pullback to $3,874 and below. October may therefore become decisive for ETH: either a breakout with accelerating momentum, or renewed consolidation under seller pressure.