Ethereum (ETH) has been exhibiting a robust upward trajectory, rebounding from a vital support zone at $2,200 and rallying towards the $2,600 resistance level. This rally accompanies a broader altcoin market surge, propelled by Bitcoin‘s climb above $49,000. The market’s optimism is partly fueled by the prospect of an Ethereum ETF approval and the upcoming Dencun update, which is anticipated to drive Ethereum’s growth throughout the year.
ETH Readies to Break Past Resistance
The price movement of ETH suggests a bounce back from its previous slump, with an emerging trend that could extend the bullish run. This pattern, coupled with increased trading activity, points to a potential rounding bottom shape, signifying a strong continuation of the current upward trend.
Despite the formation of high price rejection candles at the $2,500 mark, which indicate a possible near-term retraction, the ongoing buying pressure is expected to keep the uptrend intact. Should this buying pressure persist, ETH’s price is poised to breach the $2,600 barrier.
ETH Eyes the $3,000 Milestone
Trading at approximately $2,577, Ethereum has appreciated by 2.16% in the past day. An evening star pattern is emerging, but the cryptocurrency’s path to the $3,000 mark hinges on surpassing the immediate $2,600 threshold. Without this breakthrough, the uptrend may stall.
If a downward correction occurs, Ethereum might retest support at $2,363, correlating with the 23.60% Fibonacci retracement level. Nonetheless, technical indicators such as a climbing MACD and signal lines on the daily chart suggest that Ethereum is on the cusp of a significant bullish breakout.