Ethereum price: Ethereum Price Rejects Lower After Failed Auction: Bullish Reversal to $4,000 on the Horizon?
Ethereum (ETH) has staged a dramatic comeback, reclaiming key support levels after a brutal sell-off triggered by a “failed auction” at $3,425 earlier this week. As of 10:00 PM IST on November 10, ETH trades at approximately $3,496, up 2.1% in the last 24 hours amid a broader crypto rebound.
This rejection of lower prices—following a dip below $3,200 last week—has ignited speculation of a bullish reversal, with analysts eyeing a push toward $3,900–$4,000 resistance. But what exactly was this “failed auction,” and can ETH sustain the momentum? In this deep dive, we dissect the catalysts, technical, on-chain signals, and risks to forecast if $4,000 is within reach by month-end.
The term “failed auction” in this context refers to a breakdown in the order book dynamics during ETH’s sharp decline on November 7, where aggressive selling overwhelmed buy orders around the $3,425 level—a psychological pivot tied to recent ETF inflows and the 50-day EMA. This triggered a cascade of liquidations exceeding $421 million in ETH positions, part of a $1.1 billion market-wide purge amid U.S.
interest rate jitters and a Balancer exploit siphoning $128 million from DeFi pools. ETH plunged 6% intraday, erasing its year-to-date gains and dipping to $3,196—the lowest since the Dencun upgrade in March. Yet, as whales scooped up 250,000 ETH during the panic (per Glassnode), the price swiftly rejected further downside, closing above $3,425 by November 9—a classic V-shaped recovery signaling strong demand.
October-November 2025 has been a rollercoaster for ETH, with the token shedding 20% from its $4,800 September peak amid macro headwinds like delayed Fed cuts and altcoin outflows totaling $800 billion. The failed auction amplified fears, pushing the Fear & Greed Index to 28 (“Extreme Fear”) and ETH’s market cap to $421 billion.
Ethereum price rejects lower after failed auction
However, glimmers of hope emerged: Ethereum ETF inflows stabilized at $150 million weekly, and the Fusaka upgrade—slated for Q1 2026—teased 50% faster block times, boosting developer sentiment. On-chain activity rebounded too, with daily transactions hitting 1.2 million and staking yields climbing to 4.2% amid 34% supply locked.
Technically, ETH’s charts paint a compelling bullish picture. The token formed an ascending triangle since early November, with the $3,425 failed auction acting as the apex where sellers capitulated. A decisive reclaim above this level—confirmed by a bullish engulfing candle on November 9—has flipped it to support, triggering a MACD crossover and RSI rebound from oversold 28 to 55.
The 200-day SMA at $3,697 now serves as immediate resistance; a break could propel ETH toward the $3,900–$4,000 zone, aligning with the 0.618 Fibonacci retracement from the $4,800 high. Volume spiked 150% during the rejection, with open interest in ETH futures rising to $12 billion—positive funding rates (0.015%) favoring longs. Supertrend indicators remain green, suggesting 70% probability of a 15% rally if $3,697 holds.
On-chain metrics bolster the reversal thesis. Whale reaccumulation has been fierce: Addresses with 10K+ ETH added 120,000 tokens since November 4, per Santiment, while exchange inflows dropped 35%—a classic HODL signal. DeFi TVL on Ethereum climbed 8% to $98 billion, driven by restaked ETH protocols like EigenLayer yielding 6% APY.
Social sentiment on X flipped bullish, with #ETHReversal trending and mentions up 40% post-rejection. Broader catalysts? Bitcoin’s push toward $100K (up 5% weekly) often drags ETH higher, with historical beta of 1.2. Plus, the Prague upgrade teases could unlock $500 million in L2 liquidity by December.
Yet, risks abound. A failure to hold $3,425 could retest $3,200, where 50% of supply clusters—potentially sparking another 10% correction if Fed hawkishness persists. Regulatory shadows loom too: SEC scrutiny on staking ETFs post-Binance settlement could cap inflows. ETH’s 80% correlation to BTC means any Nasdaq dip (down 2% today) could pull it lower. Still, 60% of analysts see $4,000 feasible by November 30 if ETF flows resume at $200 million weekly.
Projections vary but lean optimistic. Short-term: $3,800 by November 18 (20% upside) on sustained volume. Month-end: $4,000 if $3,697 breaks, per FXEmpire’s ascending triangle breakout model. Year-end: $4,500–$5,000 on Fusaka hype, though bears eye $2,800 if macro worsens. Trading strategy: Buy dips to $3,425 with stops at $3,200; targets $3,900 for 12% gains. Stakers? Lock in now—yields could hit 5% amid rebound.
In conclusion, ETH’s rejection after the $3,425 failed auction marks a pivotal bullish shift, with $4,000 firmly in play if supports hold. Fundamentals like whale buys and upgrade teases outweigh short-term fears, positioning ETH for a November rally. In crypto’s fog of volatility, this reversal feels like dawn breaking—traders, position accordingly.