So far, Ethereum (CRYPTO: ETH) has held above the important $3,350 level. There’s support at this level because it was important resistance.
After ETH traded higher than $3,350, many of the investors who sold it there regret their decisions to do so. Many of these remorseful sellers decide to buy it back.
But they will only do so if they can get it for the same price they sold at. This way they can mentally erase their mistake.
As a result, they place their buy orders at $3,350. If there are enough of these buy orders, it will cause support to form as it has here.
If this level continues to hold over the next few days there’s a good chance there is some type of rebound. But if it breaks, look for the downtrend to continue.
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