Ethereum Primed for Breakout – Watch These Key Levels as Base Solidifies

Ethereum's price action is coiling like a spring—and traders are betting the next move could be explosive. After months of consolidation, ETH is building a base that typically precedes big volatility. Here's what could trigger the next leg up.

Key levels to watch:

• $3,800: The breakout level that could confirm bullish momentum
• $4,200: Historical resistance that turned support during last month's rally
• $3,500: Must hold as support to maintain upward structure

Market makers are playing both sides—liquidity pools show equal hunger for calls and puts. Meanwhile, retail traders keep buying every dip (because 'this time is different,' obviously).

If ETH clears $4,500, the path to all-time highs opens up. Fail to hold $3,400? Prepare for another round of 'macro headwinds' excuses from crypto influencers.

Fun fact: Wall Street still can't decide if ETH is a security, commodity, or Schrödinger's asset—but they'll happily collect fees trading it either way.

Ethereum Price Faces Hurdles

Ethereum price started a recovery wave after it formed a base above the $4,260 zone, like Bitcoin. ETH price was able to climb above the $4,320 and $4,350 resistance levels before the bears appeared.

The price struggled to clear the $4,385 level. A high was formed at $4,3873 and the price started to decline again. There was a MOVE below the $4,320 support level. The recent low was formed at $4,268 and the price is now consolidating losses above the 23.6% Fib retracement level of the recent decline from the $4,387 swing high to the $4,268 low.

Ethereum price is now trading below $4,350 and the 100-hourly Simple Moving Average. On the upside, the price could face resistance NEAR the $4,340 level. Besides, there is a key bearish trend line forming with resistance at $4,340 on the hourly chart of ETH/USD.

The next key resistance is near the $4,360 level or the 76.4% Fib retracement level of the recent decline from the $4,387 swing high to the $4,268 low. The first major resistance is near the $4,385 level. A clear move above the $4,385 resistance might send the price toward the $4,420 resistance. An upside break above the $4,420 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $4,500 resistance zone or even $4,550 in the near term.

More Downside In ETH?

If ethereum fails to clear the $4,340 resistance, it could start a fresh decline. Initial support on the downside is near the $4,265 level. The first major support sits near the $4,220 zone.

A clear move below the $4,220 support might push the price toward the $4,200 support. Any more losses might send the price toward the $4,160 support level in the near term. The next key support sits at $4,120.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is losing momentum in the bearish zone.

Hourly RSIThe RSI for ETH/USD is now near the 50 zone.

Major Support Level – $4,260

Major Resistance Level – $4,385