Ethereum is currently making significant strides in the cryptocurrency market, recently achieving a notable 14% increase over just a few days. This surge has strengthened bullish sentiment among investors, as the second-largest cryptocurrency by market capitalization approaches critical resistance levels. The recent price rally positions Ethereum close to a crucial turning point, where surpassing key thresholds could solidify ongoing bullish momentum and potentially herald the beginning of a broader upward trend.
Top analyst Daan has provided a thorough analysis, indicating that Ethereum is trading within a range of approximately $2,475 to $2,735. This consolidation area has become a battleground, with the price consistently testing its limits. Remarkably, Ethereum has revisited the upper range of $2,735 for the fourth time, a level that has historically acted as both support and resistance. The price action has oscillated between the highs and lows within this range, reflecting a state of uncertainty that may precede a significant market movement. For the bulls to maintain control, overcoming this resistance is essential; otherwise, renewed selling pressure could emerge, leaving traders vigilant for the next market catalyst.
Ethereum's current standing signifies a crucial moment as it approaches resistance levels following a strong price increase. Market sentiment is sharply divided, with some analysts predicting a breakout to higher price levels due to recent upward momentum, while others warn of a possible correction given the risks of overextension. This climate of uncertainty is exacerbated by global tensions and macroeconomic instability, which continue to introduce volatility across the financial markets, keeping traders apprehensive.
Daan's analysis notes that Ethereum remains confined within the established range of $2,475 to $2,735, with the price having tested both the upper and lower limits, signifying a period of consolidation. Importantly, the repeated retesting of the $2,735 range high suggests that a breakout, whether upward or downward, is imminent, likely leading to a substantial market movement. However, he advises caution, recommending that traders refrain from overcommitting to either bullish or bearish positions until a breakout is confirmed. Recent weeks have seen traders attempting to capitalize on breakouts in both directions, often resulting in losses due to volatile market conditions. This indecision has left many investors vulnerable to unfavorable outcomes, as premature bets have not materialized.
With ongoing global economic uncertainties exerting additional pressure, Ethereum's next decisive move will depend on whether bulls can successfully breach the $2,735 resistance level or if bears will take advantage of a potential market reversal. Until clearer signals emerge, the market remains a contest between opposing forces.
Currently, Ethereum is trading at $2,690.46 on the daily chart, following a phase of consolidation after a sharp decline. After finding support near $1,750 in April, ETH has formed a tentative ascending triangle pattern, with recent price movements testing significant moving averages. The 50-day simple moving average (SMA) at $2,310.51 and the 100-day SMA at $2,077.91 have both been surpassed, while the 200-day SMA at $2,657.01 continues to serve as critical resistance, aligning with the current price range. This development indicates short-term resilience and sets the stage for a potential test of the $2,750 resistance, which has been retested four times since early 2025. A decisive daily close above $2,750, coupled with rising trading volume, could facilitate a move towards the $3,000 mark.
The chart reveals a pattern of rising lows since April, signaling accumulation and renewed interest from buyers, particularly in the $2,500-$2,600 price range. An increase in volume during recent price surges adds credibility to the breakout attempt, diminishing the chances of a false move. If Ethereum holds above the $2,500 mark, the overall trend appears bullish. Conversely, a rejection at $2,750 could lead the price back to the support zone of $2,250-$2,400. According to analyst Daan, the market remains rangebound between $2,475 and $2,735, with a breakout likely to initiate a significant price movement. Attention remains focused on whether Ethereum can clear the $2,750 resistance to confirm upward momentum.
