Ethereum’s price currently sits at $2,600 after declining nearly 5% from its September 27 peak. This downward movement aligns with Bitcoin’s 5% drop over the past day. Though Ethereum ended last week on a high note with a 10% rally, its short-term outlook remains uncertain. However, the mid to long-term perspective stays intact as crypto markets enter Q4. The key question is whether ETH will reach $3,000 in October.

Technical and on-chain analysis suggests this is likely. Ethereum testing the $3,000 psychological level is a high-probability scenario. ETH could surpass this mark and potentially revisit the $3,500 resistance. Historically bullish Q4 performance supports this optimistic outlook. However, Ethereum may see a correction before hitting $3,000.

Ethereum’s price decline today stems from Bitcoin’s tumble from $66,000. Yet the overall outlook remains positive for three key reasons:

1. Bitcoin’s recent break above $65,000 after six days of consolidation.
2. The end of a bearish Q3.
3. Typical month-end price volatility.

While ETH may continue climbing towards $3,000, on-chain metrics indicate a short-term correction is due first. The 30-day MVRV ratio from Santiment hovers around 6.5%, with previous entries into the 6-10% range often preceding price reversals. This correction could occur over the weekend or next week.

From a technical standpoint, Ethereum is trading in a range between $2,309 and $2,820. The September 23 high of $2,702 is a key level to watch. A failure to hold above this could trigger a correction to the $2,252-$2,440 demand zone – a potential buy area heading into Q4.

If buyers can flip the $2,820 range high, ETH could test resistance at $2,886 and $2,923 before targeting the psychologically important $3,000 level. Consolidation between $2,800-$3,000 would signal further upside potential, potentially leading to moves toward $3,352 and $3,497.

Overall, Ethereum’s outlook has improved significantly compared to a month ago. While a correction may come first, the forecast points to ETH retesting $3,000 and possibly extending to $3,500. Investors should remain patient in positioning for this anticipated move.