Ethereum (ETH), the second-largest cryptocurrency, has reached a significant milestone by touching $4,000, marking a two-year high and closing the gap towards its all-time high (ATH).
As Bitcoin (BTC) also reached a new all-time high of $70,100, the cryptocurrency market is witnessing an explosive bull run. Technical analysis suggests that Ethereum is poised to overcome key resistance levels, positioning it closer to its previous all-time high of $4,878.
Ethereum Daily Chart Indicates Clear Path To $4,400 While Ethereum has not yet reached its previous all-time high, achieving the $4,000 mark represents notable progress for the cryptocurrency. The current price level reflects a 19% difference from its ATH, signaling the potential for further price appreciation amid the ongoing bullish trend.
Technical analyst Rekt Capital highlights Ethereum’s strong price action, noting successful retests of the $3,500 support level. The cryptocurrency surged to $3,830 during this period, reinforcing the conviction of a potential breakthrough. Rekt Capital suggests that Ethereum is steadily approaching the red-red macro resistance range between $4,200 and $4,600, which would position it just below its previous ATH.
Consolidating above the $4,000 mark presents an immediate challenge for Ethereum, as increased price volatility may hinder further upward movement. However, should this resistance be breached, the next hurdles are at $4,060 and $4,100.
ETH’s price reached the $4,000 mark on the daily chart. Source: ETHUSD on TradingView.com Analysis of the ETH/USD daily chart indicates a clear path towards the $4,400 zone. Following these levels, the cryptocurrency would face additional resistance at $4,528, $4,629, and $4,731 before potentially retesting its all-time high.
Overall, the next direction for Ethereum’s price remains uncertain as the possibility of a price correction looms. Such a correction could potentially threaten the gains made over the past year, which amount to an impressive 154%. However, given the long-term investment interest in the token, it remains well-positioned for near-term price gains.
Featured image from Shutterstock, chart from TradingView.com
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Ronaldo Marquez Ronaldo is a seasoned crypto enthusiast with over four years of experience in the field. He is passionate about exploring the vast and dynamic world of decentralized finance (DeFi) and its practical applications for achieving economic sovereignty. Ronaldo is constantly seeking to expand his knowledge and expertise in the DeFi space, as he believes it holds tremendous potential for transforming the traditional financial landscape.