Ethereum’s decisive breakout from a five-year trading range has confirmed a new market structure, with the recent retest near the $3,600–$3,700 level establishing a technical floor for future price action. Analysts view this consolidation above support as foundational for sustained upward momentum.
The cryptocurrency demonstrated robust recovery strength after a 15% pullback from recent peaks, despite rallying over 50% in preceding weeks. Market strategists highlight that such corrective movements amid pervasive bearish sentiment historically accompany persistent bull markets rather than indicating trend reversals.
Technical indicators reinforce optimism, with Ethereum’s weekly Relative Strength Index (RSI) flashing bullish signals comparable to preceding market cycles. The RSI pattern suggests substantial room for continued appreciation, mirroring setups that preceded major historical advances.
Maintaining the $3,600–$3,700 support threshold remains crucial for the bullish thesis. A consistent hold above this zone could catalyze a macro rally targeting the $4,800–$5,500 range. Recent price action validated technical expectations as Ethereum surged past the $3,700 resistance level, confirming near-term strength.