Ethereum breaks $4,000 and eyes a push toward $7,000–$8,000 targets.
Technical charts show strong uptrend with key support from moving averages.
Positive sentiment and U.S. investor demand boost chances of further price gains.
Ethereum's ETH has rocketed past the $4,000 level, a level which traders have been watching for an extended period. The price climb over the past week reflects more than just market momentum; it reflects an increasing level of conviction with respect to the underlying value of the assets. Increasing price points, the underlying assets were met with fresh, eager buying with each price surge, which indicates that the confidence remains really high. The market is fickle, but traders are observing with interest the next developments. The next targets? Shooting for the $7,000 - $8,000 region.
https://twitter.com/DrProfitCrypto/status/1953849385747460462 Technical Picture Points Higher
Ethereum’s daily chart paints a clear picture of strength. The uptrend began in mid-April, carving a path inside a wide ascending channel. Along the way, multiple resistance levels have fallen, showing the market’s determination. Both the 100-day and 200-day moving averages now sit below the price, signaling firm support. The 100-day moving average slopes upward after a bullish crossover, adding weight to the bullish outlook.
If the price breaks above the channel’s upper boundary, a new all-time high may follow. Clearing the $4,107 level would open the door for a run toward the next major milestones. However, rejection near the higher trendline could lead to a dip toward $3,200. That level would likely decide whether the move is only a short-term correction or something deeper. Shorter timeframes show another story. The 4-hour chart suggests ETH has been in a reaccumulation phase.
Price has consolidated between $3,500 and $3,800, even producing a fake breakout and liquidity sweep below $3,500. Now, as price is testing $3,900, an impulsive breakout could catalyze an aggressive rally to the upside. The RSI is sitting at about 67, which shows both strong momentum but implies an overbought condition. Still, any reversal at this stage seems unlikely without a clear bearish divergence.
Sentiment Favors Bulls
Market sentiment adds another layer to the bullish case. The Coinbase Premium Index, which tracks the price difference between Coinbase and Binance, has remained positive since April’s rally began. This points to strong demand from American investors compared to other regions. Historically, positive readings on this index have often preceded further price rallies.
American buying pressure seems to be acting like fuel on an already burning fire. As long as this demand holds, the path higher appears more likely than a sharp reversal. The market has shown resilience through pullbacks, bouncing back with renewed strength each time. Technical patterns, sentiment indicators, and institutional activity are aligning to create favorable conditions for more upside.
Ethereum has broken through $4,000 with momentum building for higher targets. Technical charts show strength on both daily and short-term timeframes. Sentiment data confirms strong buying interest, especially from American investors. With targets set at $7,000–$8,000, the coming weeks could test the market’s appetite for risk.
