Ethereum Breaks $2.8K Resistance, Eyes $3.3K Target

Ethereum, the second-largest cryptocurrency by market capitalization, is currently in a critical consolidation phase. The bullish trend, which has been dominant, is now facing a key resistance level at $2.8K. This level has historically acted as a significant barrier, but recent buying pressure has pushed Ethereum above it, forming a higher high on the daily chart. This breakout suggests a shift towards a bullish market structure.

However, Ethereum is now trading within a range between $2.8K and $3.3K, where a short-term consolidation phase is likely. The upper boundary of this range aligns with a bearish order block, indicating potential supply and selling pressure at this level. If Ethereum can break above the $3.3K resistance, the next bullish target would likely be the $4K psychological threshold, a major technical and psychological level.

On the 4-hour chart, Ethereum's impulsive rally has been halted near the $3K level as momentum cools. The $2.8K zone, previously strong resistance, is now being retested as support. A proper pullback to this region would serve to validate the breakout and establish a stronger base for the next leg up. The 0.5-0.618 Fibonacci retracement levels also serve as potential targets for this ongoing correction, providing confluence with short-term demand zones.

In the coming days, Ethereum is expected to consolidate and correct, potentially setting the stage for another bullish rally toward the $3.3K resistance. According to the analyst's forecast, a successful retest of $2.8K could ignite the next wave toward $3.3K and beyond. This is supported by the Binance Liquidation Heatmap, which pinpoints zones where significant liquidation events are likely to unfold. These areas often act as liquidity magnets, attracting price action due to the high concentration of leveraged positions. At present, a prominent liquidation cluster is located just below the $2.8K mark, implying a high probability that Ethereum’s price may gravitate toward this level. Should this scenario play out, ETH would complete its pullback to this key support, potentially reigniting bullish momentum and setting the stage for a rally toward the $3.3K resistance.

On the flip side, another sizeable liquidity pool sits above the $3K level, indicating that following the pullback, Ethereum could also move higher in the short term to tap this zone, potentially triggering a short-squeeze and fueling further upside. This sentiment is echoed by analysts who predict that if $2.8K holds as support, Ethereum could continue to rally to $3.5K. Additionally, the upside potential for Ethereum is seen to be between $2.9K and $3K, with a break and retest above $2.8K serving as an entry zone for the next leg up.