Ether Price Outlook: Technical Indicators Signal Potential for Further Decline in December

Ethereum’s native token, Ether, is facing mounting pressure as key technical and on-chain metrics point toward the risk of an extended correction. Analysts are closely monitoring a bearish pennant pattern forming on the charts, a continuation structure that often precedes a downward breakout. A decisive close below the pattern’s lower boundary could trigger a significant sell-off, with initial downside targets projected near the $2,500 level. Beyond that, a deeper retracement toward the $2,200 support zone is becoming a plausible scenario. The weakening of the Market Value to Realized Value (MVRV) ratio, a crucial on-chain metric that compares an asset’s market cap to its realized cap, further underscores the bearish sentiment. A declining MVRV suggests that the average holder’s profit margin is eroding, which historically correlates with increased selling pressure and a loss of underlying support. While the broader market sentiment remains a dominant factor, these specific technical and on-chain developments indicate that Ether may struggle to find its footing in the near term, with December potentially testing lower price thresholds.