September Correction Could Send ETH Back to $3,500: Analyst

Ether costs may tumble an extra 20% from present ranges if historical past rhymes and the correction deepens this month.

Now that Ethereum has run the prior all-time highs in August, “I feel ETH will drop again to its 21-week EMA [exponential moving average],” mentioned ICT Crypto founder Benjamin Cowen on Monday.

This might ship ETH again to round $3,500 earlier than it recovers and pushes to a brand new all-time excessive on the finish of the 12 months.

“Lots of people will get upset with this concept, however this has been the plan since ETH ‘went residence’ in April,” he mentioned, referring to the  April dump under $1,500.

Now that Ethereum has run the prior All Time Highs in August, I feel ETH will drop again to its 21W EMA.

Lots of people will get upset with this concept, however this has been the plan since ETH went residence in April (new ATH, then pullback to 21W EMA and discover help). https://t.co/WLPBK3mHJ3 pic.twitter.com/2AalzbsMdb

— Benjamin Cowen (@intocryptoverse) September 1, 2025

Slumptember Has Arrived

Through the previous two bull market years, there was a serious correction in September. In accordance with CoinGlass, six of the previous ten Septembers have seen value declines for ETH, with the common loss round 6%. Nevertheless, ETH corrections have been a lot bigger in bull market years.

In September 2017, ETH fell by 21.6% and in the identical month in 2021, it misplaced 12.5%. The asset recovered to notch a brand new all-time excessive a couple of months after, so this month may present a buy-the-dip alternative. The longer-term outlook for Ethereum is extraordinarily bullish now that Wall Road has began to embrace the asset.

Moreover, whales are nonetheless shopping for, with Arkham Intelligence reporting on Monday {that a} whale holding $5 billion of Bitcoin simply purchased $1 billion in ETH and has now staked it all.

‘DeFi Dad’ posted some Ether ‘moon math’ this week, predicting that the asset will command a a lot increased market capitalization than its present $523 billion.

“Primarily based on its place as probably the most trusted and dependable world ledger for stablecoins, RWAs, DeFi native property and TradFi’s default selection for tokenization… straightforward to think about ETH commanding a market cap of $35 trillion or extra by 2032/2034, every time ETH inevitably catches as much as or flips BTC market cap.”

In the meantime, Ethereum educator Anthony Sassano noticed that spot Ether ETFs and treasuries purchased over 33 instances extra ETH than was issued by the community in August.

ETH bought in August by entity:

– ETH ETFs: ~860,000 ETH
– ETH treasury firms: ~1.7 million ETH

Newly internet issued ETH in August: ~76,709 ETH

The ETH ETFs and treasuries purchased over 33x extra ETH than was internet issued by the community in August.

Speed up!

— sassal.eth/acc (@sassal0x) August 31, 2025

ETH Value Retreats

Regardless of these clearly bullish long-term prospects, weak retail palms preserve promoting the asset.

Ether has retreated once more at the moment, falling from an intraday excessive of $4,480 to a low of $4,250 in late buying and selling on Monday. ETH had recovered to succeed in $4,350 throughout the Tuesday morning Asian buying and selling session, but it surely has been printing decrease highs and decrease lows for the previous week because the downtrend continues.

The probabilities are that that is more likely to proceed for many of this month earlier than a restoration in This fall.