Ethereum Price Prediction: Will ETH Price Fail Its 3k Support Level Under Solana's Pressure?

With Ethereum (ETH) striving to maintain its price above the critical $3,000 support level and Solana (SOL) gaining dominance in decentralized exchanges (DEXes), the competition between these two blockchain giants is intensifying. Ethereum's robust smart contract ecosystem faces mounting pressure from Solana's user-friendly scalability and significant trading volumes. Will Ethereum withstand this pressure, or is a price drop below $3,000 imminent ?

By DefiLlama - DEXs Comparison

1- Ethereum Price Analysis: Vulnerabilities and Potential

Ethereum's price currently trades at $3,064.60, with a market cap of $369.05 billion and a 24-hour trading volume of $25.59 billion. Despite maintaining a strong position, ETH remains 37.43% below its all-time high of $4,891.70, reached on November 16, 2021. The technical indicators reveal mixed sentiments:

By TradingView -ETHUSD_2024-11-18 (YTD)

• Relative Strength Index (14): 59.50 (Neutral)
• Momentum (10): 101.23 (Sell)
• MACD Level (12, 26): 150.40 (Buy)
• Exponential Moving Average (10): $3,061.86 (Buy)
• Simple Moving Average (10): $3,155.25 (Sell)
• Exponential Moving Average (20): $2,943.55 (Buy)
• Simple Moving Average (20): $2,879.38 (Buy)

Ethereum recently faced resistance near $3,120, prompting a short-term downside correction. After struggling to clear the $3,250 zone, ETH is consolidating within a narrow range. However, if Ethereum fails to stabilize above $3,040, the price could break below the psychological $3,000 mark, testing support levels at $2,980 and potentially $2,880. Such a decline could further erode investor confidence, making the $3,000 support level a critical battleground.

By TradingView -ETHUSD_2024-11-18 (LIVE)

Key Technical Insights

• Resistance Levels: $3,120, $3,220, $3,320
• Support Levels: $3,040, $2,980, $2,880

2- Solana's Rising Pressure on Ethereum

According to DefiLlama , Solana has surpassed Ethereum in 24-hour DEX trading volume, recording a staggering $6.24 billion compared to Ethereum's $850 million. Solana-based platforms like Raydium and Orca dominate the DEX landscape, with volumes of $4.2 billion and $1.07 billion, respectively.

By TradingView -SOLUSD_2024-11-18 (YTD)

Notably, Solana’s weekly DEX trading volume exceeds Ethereum and its layer-2 solutions combined. This growth highlights Solana's commitment to user-friendly applications and seamless experiences, creating significant pressure on Ethereum to innovate and maintain its market share.

Key Metrics for Solana

• Market Cap: $116 billion
• Recent Price Rally: 18% over the past week
• Native Token: SOL

By TradingView -SOLUSD_2024-11-18 (LIVE)

Cryptocurrency educator Cygaar credits Solana's success to its emphasis on user experience over technical infrastructure. Unlike Ethereum, which remains heavily infrastructure-focused , Solana prioritizes real-world applications that appeal to everyday users. This strategic focus has enabled Solana to grow its market dominance rapidly.

3- Ethereum vs Solana: A Competitive Comparison

Feature Ethereum (ETH) Solana (SOL)

Market Cap	$369.05 billion	$116 billion
24-hour DEX Volume	$850 million	$6.24 billion
All-Time High	$4,891.70 (37.43% below ATH)	$260.06 (6.29% below ATH)
Focus Area	Smart contracts, dApps	Scalability, user experience
Top DEX	Uniswap ($1.52 billion volume)	Raydium ($4.2 billion volume)

By CoinMarketCap - SOL (Blue) vs ETH (Red) - Price Performance %

Ethereum's ability to maintain its $3,000 support level faces significant challenges , both from internal market dynamics and Solana's rising dominance . While Ethereum's established ecosystem and innovation in smart contracts provide long-term potential, the increasing pressure from Solana's user-focused approach and high DEX volumes cannot be ignored. As the blockchain landscape continues to evolve, the competition between these two giants will shape their respective futures, with Ethereum's $3,000 threshold being a pivotal factor to watch.