Ethereum (#ETH) has surged recently, with the price approaching the historical high of $4848 set in November 2021, currently oscillating around $4748, with a monthly increase of 56%. However, analysts pointed out that whether it can hold the key resistance level this week will determine its next step—whether to initiate a new round of increases or face a pullback.
Approaching historical highs, key resistance level testing is coming.
In the past week, Ethereum performed remarkably, rising to $4750 on Wednesday, just 3.3% away from its all-time high. After a pullback earlier this month, ETH has rebounded 40%, not only reclaiming the $4000 level but also breaking through the $4400-$4500 range, currently hovering between $4600-$4750, attempting to challenge the 'ultimate resistance' near $4800.
Analyst Rekt Capital pointed out that Ethereum has entered the macro key range of $3762-$4631, which is the last important hurdle before hitting a new historical high.
Looking back at the end of 2021, ETH broke through $4631 and reached an all-time high, but subsequently experienced a significant 80% retracement due to failing to convert that price level into support on the weekly chart. Therefore, 'how ETH responds to $4631 in the coming days is crucial'—whether it can hold this price level will determine if it strengthens against the trend or repeats its historical retracement.
Two scenarios: breakout bullish, loss or 18% pullback.
Analysts believe that if ETH can hold above $4630 for the first time, it will be a 'strong signal,' but caution is needed for a possible slight pullback in the short term, which is a common phenomenon when prices break through key resistance.
If it fails to hold $4631, Ethereum may face an 18% pullback, falling to the macro low around $3762, while filling the recent CME gap on the weekly chart between $4091-$4261; if it can convert $4631 into support, ETH will initiate a new round of price increases, breaking the $5000 barrier. Another analyst, Ali Martinez, added that if the $4800 resistance turns into support, ETH is expected to further rebound to $5200 or even $6400.
Currently, Ethereum is at a critical decision point; whether the weekly closing price can stay above $4631 will become the core signal for judging its subsequent trend. As of the time of writing, ETH is at $4748, and the market is closely watching this 'ultimate resistance level' battle.
