Ethereum is at a critical moment after last week’s explosive rally, pushing prices higher than several key levels of resistance. After soaring $2,700, ETH retreated and has now merged $2,400. The area has become a key battlefield among the bulls who want to confirm a breakthrough and make more in-depth corrections.
To maintain the current bullish momentum, Ethereum must hold the above $2,400 and regain the $2,800 level, a ceiling that marks the current merger range. A confirmation breakthrough of more than $2,800 could inspire wider rally and say the long-awaited start of Altseason.
Adding strength from bullish cases, new data on crypto-literacy suggests that smart currencies are rapidly accumulating ETH. This massive accumulation shows growing confidence among institutional players and long-term investors, even with increased volatility.
Now, everyone’s eyes are focused on Ethereum’s reaction at these levels. Successful defense of support and breakthroughs beyond resistance may lay the foundation for a strong continuation. However, not holding more than $2,400 could cause greater downward pressure and delay further bullishness.
Smart Money Supports Ethereum As Bulls Defend Major Support
Ethereum shows new bullish power as market sentiment becomes optimistic throughout the cryptocurrency landscape. ETH holds above the $2,400 level after soaring more than 50% in recent weeks, a key support area that traders and analysts are paying close attention to. To consolidate the bullish phase and confirm the start of a sustainable rally, the Bulls must decisively push Ethereum toward over $2,800. This will trigger new momentum and will likely return to the $3,000-3,200 area to unlock roads.
Despite positive signs, there are risks. Ethereum is still down about 36% from its high in December 2024 near $4,100. This gap underscores the work that the Bulls still need to do to completely reverse the broader downward trend. The recent pause is the natural cooling phase, but bearish pressure may recover quickly if ETH fails to maintain support.
Nevertheless, institutional confidence seems to be growing. Smart Money has amassed more than 450,000 ETHs in the past month, according to data shared by top analyst Ali Martinez. This surge in whales accumulation suggests a long-term bullish outlook, as large holders usually buy when the market consolidates for future upside potential purchases.
If the Bulls succeed in defending $2,400 for $2,400 and breaking the $2,800 ceiling, Ethereum could be a catalyst for the wider Altcoin Rally, which could mark the beginning of a new season.
Price action: key level focus
Ethereum (ETH) is currently trading around $2,493 after failing to maintain its momentum of more than $2,700. On the 4-hour chart, we can make a clear breakthrough in the steep uptrend that began in early May. ETH actively rallyed after an explosion below $2,000, but now entered a correction phase, marking lower highs and increased sales pressure.
Areas with prices close to $2,480-$2,460 can be used as short-term support. If the area breaks, the next interest confluence will be close to $2,300. During this answer, the quantity dropped slightly, indicating that the seller was cautious rather than dominant. However, not holding more than $2,400 may change emotions and cause a deeper pullback.
The 200 segment EMA and SMA on the 4-hour chart are well below the current prices at $2,084 and $1,936, respectively, which suggests that ETH is still in bullish territory from a trend perspective. If corrections are strengthened, these moving averages can be supported as dynamic.
Overall, Ethereum is still on a strong uptrend, but the current callback indicates that the merger phase is underway. The Bulls need to defend key levels and go above $2,700 again to restore upside and target at a range of $2,800-$3,000.
Featured images from DALL-E, charts from TradingView
Editing process For Bitcoin experts, focus on thorough research, accurate and impartial content. We adhere to strict procurement standards and each page is diligently evaluated by our top technical experts and experienced editorial team. This process ensures the integrity, relevance and value of our content to our readers.
