Ethereum hit $4,332 before rejecting near key horizontal and channel resistance on the daily chart.
RSI divergence suggests weakening momentum, but Stochastic RSI signals bullish strength remains intact.
ETH leads the crypto market with 24h volume of $70.6B, doubling BTC.
Ethereum has reached a critical resistance zone near $4,200.Momentum indicators are sending mixed signals,is ETH setting the stage for a major breakout—or a sharp rejection.
Price Reaches Upper Channel as RSI Divergence Forms
Ethereum is trading within a clear ascending channel ,this is more than 110% climb from April lows. According to Crypflow, the recent high of $4,332 marked another touch at the upper boundary of this parallel channel which is historically a level where price pulls back.
https://twitter.com/_Crypflow_/status/1954506635369439690
The current RSI stands at 70.64, indicating overbought conditions. A potential bearish divergence is forming as price makes higher highs while RSI makes lower highs. This divergence has previously led to short-term corrections. Despite that, the Stochastic RSI shows a bullish crossover near the 60 level, signaling momentum is still with the bulls.
A rejection wick formed after touching the channel’s top and a known horizontal resistance zone around $4,200. This same level served as support and resistance in past cycles. The confluence, marked by a purple circle on the chart, makes this zone technically significant.
Support at Midline, Volume Confirms Strength
Ethereum bounced off the channel's midline earlier this month, marked by a green arrow. This bounce helped fuel the latest surge. Price maintains higher highs and higher lows, confirming the bullish market structure.
Ethereum’s 24-hour trading volume is at $70.6 billion which is double Bitcoin’s $33.2 billion. ETH now accounts for over 41% of daily crypto volume. Open interest is also reportedly twice that of BTC, according to AkaBull_, indicating strong institutional positioning.
https://twitter.com/AkaBull_/status/1954512432052740196 Altseason Signals Strength Beyond ETH
Ethereum’s dominance extends to altcoin performance.Karman Asghar on x noted that ETH has outperformed BTC, with 80% of altcoins also leading. ETH treasury holdings increased in July, and the ETHA ETF became the second-fastest to reach $10 billion.
BlackRock reportedly acquired $250 million in ETH, fueling speculation of a continued institutional wave. With staking yield, ETF inflows, and strong price structure, Ethereum’s breakout past $4,200 could open the door to $5,000 and beyond—pending confirmation.
