Earlier this week, after Ethereum's price reclaimed the $3,325 supply area, it initiated a vertical rebound, rising over 20% in just three trading days. Currently, Ethereum's price is trading around $3,655, marking the highest level since early 2024. This movement is driven by a confirmed breakout of a long-term triangular structure. Whether the bullish trend can continue now depends on whether ETH can hold onto the critical previous resistance level.
Why did Ethereum's price rise today?
Ethereum's price has risen strongly today, thanks to robust derivatives liquidity and market participation. According to Coinglass data, ETH open interest rose by 7.35% to $52.38 billion; trading volume increased by 15.23% to $172.45 billion. The long-short ratio among Binance's top traders is 2.92, indicating a preference for long positions.
From a technical perspective, the price movement on the 4-hour chart for Ethereum is supported by a bullish EMA arrangement. The 20-day EMA is at $3,323, and the 50-day EMA is at $3,103, currently well below the current price. The MACD remains positive, and although the RSI is in the overbought territory, there is no bearish divergence. The Parabolic SAR has flipped below the price on the daily chart, confirming the control of the bullish trend.
ETH previously consolidated around $2,900, establishing a solid foundation before the breakout. If a pullback occurs, this consolidation area will now serve as the first structural support.
ETH price indicates volatility will expand beyond $3,600
The Bollinger Bands on the 4-hour time frame have significantly expanded, indicating that the upward trend is entering a high-volatility expansion phase. The price of Ethereum is approaching the upper Bollinger Band, which is a typical characteristic of trend movements. Despite the RSI being overbought, the lack of reversal signals means that bulls currently remain dominant.
The daily price structure shows that ETH is firmly sitting above $3,600. The $3,325 level is currently the most recent support, while $4,100 is the next major resistance level. This area also aligns with the complete Fibonacci retracement level of the 2024 highs, making it a key level to watch.
The volume-weighted average price reading indicates the trading price is above the average trading level, and there is no immediate weakness in the lower time frame.
Ethereum Price Prediction: Short-Term Outlook (24 Hours)
As long as Ethereum's price remains above $3,325 today, short-term bullish control remains effective. A successful retest of the $3,525 to $3,600 range could see ETH rise to $3,850, eventually approaching $4,106. This area marks the complete Fibonacci retracement level and aligns with a strong resistance level from history.
If the bulls fail to hold above $3,325, the price may retreat to the $3,103 EMA area or the broader $2,900 consolidation range. However, with the increase in open interest, the trend structure turning bullish, and derivatives data showing strong bullish interest, the market is still inclined to continue moving towards $4,000 in the coming trading days.
