Ethereum (ETH) faced resistance near $2,817 on Thursday, despite the Ethereum Foundation’s $120 million DeFi initiative aimed at strengthening its ecosystem. The price rejection signals hesitation among investors, as broader market conditions weigh on sentiment.
The $120 million investment was expected to boost Ethereum’s dominance in decentralized finance (DeFi) by enhancing liquidity and infrastructure. However, profit-taking and macroeconomic uncertainty limited ETH’s upside momentum, preventing a breakout above key resistance levels.
Technical indicators suggest ETH remains range-bound, with buyers struggling to gain control. A sustained push above $2,817 could open the door for further gains, but failure to hold support near $2,750 might trigger deeper corrections.
Broader crypto market sentiment also played a role, as investors assessed Federal Reserve policy expectations and risk appetite across digital assets. The U.S. dollar’s strength and shifting liquidity conditions added pressure to Ethereum’s price action.
Despite the short-term rejection, Ethereum’s long-term outlook remains positive, driven by institutional interest and DeFi expansion. Analysts expect the network’s layer-2 growth and upcoming protocol upgrades to provide further upside potential in the coming months.
For now, ETH traders are watching key levels, with $2,750 acting as immediate support and $2,817 remaining a crucial hurdle for further price appreciation.
