Ethereum has maintained its bullish momentum, decisively breaking through key resistance zones and reclaiming the psychological $4K level.

While some cooling-off is likely, the broader trend still favors further upside.

ETH Price Analysis: Technicals

By Shayan

The Daily Chart

After sweeping liquidity beneath the $3.5K region, ETH attracted strong buying interest, igniting a sharp rally. The upward move propelled the price above the $4K threshold, a level which is significant both psychologically and as a previous swing high on the daily chart.

This breakout underscores sustained market demand, but with price now trading firmly above $4K, a short-term pullback to retest this area remains a possibility. Such a retracement could serve as a healthy reset before continuation toward the next key resistance at $4.5K.

Source: TradingView

The 4-Hour Chart

Zooming in, ETHs price has cut through multiple resistance levels with strong bullish conviction, reflecting increased buying momentum.

However, the current position suggests the market may be ready for a corrective phase to absorb fresh demand before resuming its climb.

The 0.5–0.618 Fibonacci retracement zone, aligned with Ethereum’s established multi-month uptrend, represents a probable support area if a pullback unfolds. Holding this region would strengthen the case for another leg higher, potentially driving the price into uncharted territory toward a new all-time high.

Source: TradingView

Onchain Analysis

By Shayan

The ETH Liquidation Heatmap suggests a relatively clear path toward Ethereum’s all-time high, with no major liquidity clusters obstructing the advance.

However, a significant pocket of liquidity is positioned near the $3.6K level, likely reflecting the liquidation points of long positions accumulated during the recent rally. This area marks a dense concentration of leveraged futures exposure, making it an attractive target for market makers and large players seeking to trigger liquidity events.

Given this setup, a retracement toward the $3.6K zone remains a plausible scenario, potentially flushing out these positions before the market resumes its upward push. Traders should monitor this level closely, as liquidity hunts in such areas often result in sharp, fast price movements and heightened volatility once the zone is engaged.

Source: Coinglass SPECIAL OFFER (Sponsored) Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).

LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.