Ethereum's recent performance has been remarkable, with its price quickly rising from $2000 to $3480, an increase of over 70% in just a few weeks. This strong trend has caught the attention of market participants, but it has also sparked discussions about a possible technical correction.

From a technical analysis perspective, Ethereum's current price is approaching a long-term downward trend line that started from the historical high point in 2021. Historical data shows that whenever the price reaches this resistance level, it faces significant downward pressure. Given the recent substantial increase, the pressure the market faces at this critical position cannot be ignored.

Based on these factors, analysts believe that Ethereum may encounter resistance at its current position in the short term and undergo some degree of correction to digest previous gains and profit-taking. Technical chart analysis indicates that the potential correction range may be between $3200 and $2800. Among them, $3200 corresponds to the Fibonacci retracement level of 0.382, while $2800 corresponds to the 0.618 retracement level, representing a strong support area.

It is worth noting that if Ethereum can stabilize in this range, it may lay the foundation for a new round of upward momentum in the future. Currently, the $3480-$3500 range is seen as a strong resistance area, and investors should be cautious when chasing highs in this position. Conversely, the $3200-$2800 range may provide better entry opportunities.

Although there may be adjustments in the short term, the long-term prospects of Ethereum continue to attract market attention. As the cryptocurrency ecosystem evolves, Ethereum's position as a leading smart contract platform remains solid. While investors focus on short-term price fluctuations, they should also consider the project's fundamentals and long-term development potential.

Market participants should closely monitor factors such as the macroeconomic environment, regulatory dynamics, and technological upgrades, all of which may have significant impacts on the future trend of Ethereum. In a volatile market, maintaining rational analysis and risk management is crucial.