Ethereum trades at $4,234 after testing resistance near $4,000 for a potential R/S flip confirmation.
A 2-week MACD cross and RSI breakout signal strong bullish momentum building for Ethereum.
Price remains in a confirmation phase, with $5,000 targets possible if $4,000 holds as support.
Ethereum as of writing, trades at $4,234.34, with a market cap of 42.49 billion. Though experiencing a negative trend in the last 24 hours of -2.37% and the last 7 of -1.34%, the 2-week chart structure reveals a robust bullish confluence, indicating a critical moment in the asset..
Resistance Flip and Long-Term Structure
Ethereum has in the recent past risen above a resistance area that limited its price movements since December 2021. It is a breakout as a sign of additional energy and the possibility of continuation in the long term should there be a reversal at the $4,000 price. Analysts view this R/S flip as a confirmation point for further upward movement.
According to CrypFlow (@Crypflow), the 2-week close above $4,000 will determine whether this breakout holds and forms the base for a larger rally. If successful, Ethereum could target its previous cycle top around $4,864 and push into uncharted territory beyond $5,000.
Price structure shows ETH advancing from its cycle bottom in 2022, with momentum now favoring buyers. This breakout has shifted sentiment, setting the stage for renewed accumulation and positioning Ethereum strongly for potential cycle expansion.
Technical Indicators Align Bullishly
On July 10, a bullish MACD cross formed on the 2-week chart, an event historically tied to strong rallies. Each past occurrence has preceded large Ethereum moves, with the current setup showing growing histogram strength. This confirms that momentum is accelerating rather than fading.
The RSI breakout adds another layer of strength. After rejecting lower trendlines since 2021, Ethereum’s RSI broke upward, confirming a decisive change in market direction. RSI now trends above the midline, which aligns with previous cycle expansion points.
The Stochastic RSI further strengthens the case. Moving above the 80 level, it indicates strong market conviction and momentum, consistent with multi-month uptrends seen in earlier Ethereum cycles.
Current Price Action and Market Standing
Ethereum has short-term volatility despite the fact that it has strong technical signals. It is just a marginal retreat to the current price of 4,234 dollars and the structure is holding firm. Such retracements are common near major resistance levels, especially ahead of confirmation closes.
Ethereum’s daily performance shows active profit-taking, though the broader technical framework remains constructive. If $4,000 holds as support, traders may view it as a foundation for new long positions.
Market participants now monitor the next 2-week close to validate the R/S flip. A successful confirmation could open pathways toward $5,000, reinforcing Ethereum’s role as a market leader in the current cycle.
