Ethereum's Bullish Setup Awaits Breakout Above $2,550

Ethereum's recent market behavior has been characterized by indecision, with mixed signals across various timeframes. This uncertainty has led to a search for clear direction in the market. Despite this, there are indications of a bullish setup, particularly as Bitcoin and BTC dominance show strength, which could benefit Ethereum in the near term. The next major resistance level for Ethereum is marked at $2,800.

Across key timeframes, Ethereum's performance has been mixed. The monthly candle ended indecisively, suggesting short-term hesitation, while the quarterly candle closed with strong bullish conviction. This sets the stage for potential upward movement in the coming months as higher timeframes begin to assert dominance. The daily candles for both ETH and ETHBTC also closed indecisively, reflecting the current market uncertainty. However, with Bitcoin dominance starting to decline, there is potential for ETHBTC to gain strength, which could fuel Ethereum's next leg up.

ETHBTC is already showing signs of life, moving upward from a monthly double-bottom formation. Clean, bullish candles forming from the 0.02270 BTC region could inject fresh momentum into Ethereum, helping to drive it toward the $2,800 resistance. Unless there are negative fundamental developments, $2,400 remains Ethereum’s main daily support zone. As long as this holds, the broader structure remains intact, and the bullish thesis stays valid.

Looking ahead, attention will be focused on the lower timeframes. With volatility in play and setups brewing, there will be close monitoring for quick scalp opportunities as Ethereum navigates through this critical range. Ethereum’s intraday chart experienced heightened volatility throughout the day. Despite the choppy price action, clear setups are forming that could present solid trading opportunities in the near term.

A decisive breakout and close above the $2,550 resistance level would be a strong bullish signal, potentially opening the door for a long entry. On the flip side, if the price pulls back toward the $2,380 support and forms a bullish reversal pattern, that too could serve as a valid trigger for a long position. With these scenarios in mind, the focus will be on spotting a clean and high-quality setup that aligns with price structure and momentum to time the next scalp trade effectively.