A popular on-chain analyst flagged a fresh support area for Ethereum (ETH) on Friday, saying traders should be watching whether the market respects roughly $4,260, where about 690,000 ETH are said to have accumulated and warning that a failure there could open the door to a drop toward $3,700.

“Ethereum $ETH support is forming at $4,260 with 690,000 tokens accumulated. If it fades, watch $3,700 as the next key zone!” tweeted crypto analyst Ali Martinez, a frequent poster of on-chain supply maps and accumulation heat-maps. The post set off a short burst of reaction across trader channels as market participants checked recent volume clusters and orderbook behavior.

Ethereum traded in the mid-$4,200s this week, with leading trackers showing prices around $4,248 right now. That put ETH comfortably above the psychological $4,000 level but below the spring high near $4,800 that capped a rally earlier this summer.

On the technical side, analysts noted that ETH has been carving out a consolidation inside a short-term descending channel, with momentum indicators suggesting elevated volatility in the coming days. Short-term swaps and exchange-flow data also showed traders repositioning ahead of macro events.

When analysts talk about “accumulation” at a price band, they usually refer to on-chain supply-concentration charts that show where wallets picked up the most coins. A cluster of 690,000 ETH concentrated near $4,260 implies a lot of holders could defend that area, or, if the price slips below it, sell pressure could accelerate as those positions become underwater.

Martinez has leaned on such supply-concentration visuals in prior posts to highlight important support bands. If $4,260 holds, traders would likely interpret that as a reaffirmation of the mid-$4k breakout and could push for a retest of the $4,800 supply zone that capped ETH earlier in the summer.

Several outlets and market strategists remain bullish on the medium-term narrative, citing network activity and renewed institutional interest. If it fails, Martinez specifically flagged $3,700 as the next key zone. A decisive break below $4,260 could send ETH probing lower supports, and some analysts point to deeper historical accumulation bands nearer $2,400–$2,800 as even more critical if selling intensifies.

Investors should watch daily closes and on-chain flows for confirmation. Ethereum’s price action this week played out against higher-level drivers: institutional flows into Ether-related products, occasional large portfolio rotations, and macro headlines such as Federal Reserve commentary that can sway risk-asset appetite.

Ali Martinez’s tweet distilled a common market story this summer: price zones where many tokens were bought become battle lines for bulls and bears. For now, the ETH price sits above the $4,000 neighborhood, but Friday’s action will tell whether the $4,260 accumulation band holds as support or becomes a stepping stone to lower levels near $3,700.

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