Ethereum has officially broken through the resistance level of $3,500 and is showing stronger recovery signals than Bitcoin. This breakout marks an important step in ETH's bullish structure, opening up opportunities towards higher levels like $3,800 and even $4,000.

🔍 ETH Market Overview

  • ✅ Starting bullish zone: From the $3,220 mark, ETH has surpassed important resistances at $3,350 and $3,500.

  • ✅ Short-term high: ETH reached a high of $3,627 before pausing and starting to accumulate.

  • ✅ Support trendline: A solid upward trendline is forming around the $3,490 region on the H1 chart (Kraken feed).

  • ✅ 100-hour moving average: The price is maintaining stability above the 100-hour SMA – confirming that the upward trend is still in effect.

📈 Bullish Scenario

Ethereum is currently maintaining above the important support level of $3,500. If buying pressure continues to dominate, ETH may encounter the following resistance levels:

  • 🧱 Nearest resistance: $3,630

  • 🔑 Major resistance: $3,650

  • 🎯 Strong resistance: $3,720

  • 🚀 Potential target: $3,800 – If broken, ETH could aim for $3,880 or even $4,000 in the short term.

A clear break above $3,720 could be a confirming signal for a new breakout of Ethereum in the current upward cycle.

📉 Short-Term Correction Risk

However, if ETH cannot break through the $3,630 - $3,650 range, a short-term correction may occur:

  • 🔻 First support: $3,550

  • 🔻 Major support: $3,500 (coinciding with the upward trendline + 100H SMA)

  • ⚠️ Risk threshold: If it breaks $3,500, ETH may retreat to $3,420, and further down to $3,350 or $3,220.

🧠 What Do Technical Indicators Show?

  • MACD (H1): Gradually increasing in the bullish zone – indicating that the upward momentum is still strong.

  • RSI (H1): Above the 50 mark – a sign that the market is leaning towards the buyers.

✅ Conclusion: Ethereum is on a strong upward trend

Ethereum is in a clearly upward trend with a positive technical structure. As long as ETH maintains above the $3,500 region, the outlook towards $3,800 - $4,000 is entirely feasible. Investors should closely monitor price reactions around the $3,650 area – this will be the decisive zone for the next trend.

💡 Suggested Strategy for Short-Term Traders:

  • Enter when the price pulls back to $3,520 – $3,500 (can do light DCA)

  • Cut losses if the H1 candle closes below $3,450

  • Take partial profits at $3,650 / $3,720 / $3,800+