Ethereum Holds Above $2,500 Despite 10% Pullback, Gains 50% Monthly

Ethereum has demonstrated resilience, maintaining its position above the $2,500 mark despite a 10% pullback from its recent highs. This pullback is part of a broader market correction, but Ethereum's performance remains robust, with a nearly 50% gain for the month. This strong monthly performance indicates that Ethereum is in an uptrend, even as short-term volatility tests investor conviction.

Analysts are closely monitoring Ethereum's price action, noting that its ability to hold steady during market resets often precedes aggressive moves. Top analyst Ted Pillows highlighted that Ethereum's recent price behavior—holding above key support levels while the market corrects—suggests that a breakout could be imminent. If Ethereum can reclaim higher resistance levels, particularly above $2,700, it could validate the bullish outlook and trigger broader momentum across the altcoin market.

Ethereum's resilience is particularly notable given the macroeconomic uncertainty and geopolitical tensions that have weighed on traditional markets. Despite these challenges, Ethereum has shown impressive strength, supported by strong fundamentals and improving investor sentiment. On-chain and institutional signals also point toward sustained demand, with ETF inflows for Ethereum picking up and multiple firms reportedly raising over $1 billion to acquire ETH.

On the weekly chart, Ethereum is trading at $2,509, having pulled back slightly from its high of $2,789 earlier in the week. However, it remains firmly above key support levels, including the 200-week SMA ($2,452) and the 34-week EMA ($2,498). This area is now acting as solid support after ETH’s 50% rally off the April lows. Technically, ETH is challenging the underside of the 100-week and 50-week SMAs, both of which have previously acted as resistance. A close above $2,725 would mark a significant shift in trend, confirming bullish continuation and opening the door for a test of the $3,000–$3,200 zone.

Volume has slightly decreased from the breakout candle three weeks ago, suggesting consolidation rather than weakness. Bulls are looking for ETH to reclaim the $2,725 level with conviction to spark momentum. Until then, the current structure favors a slow grind higher unless macro volatility accelerates. Ethereum's steady performance in turbulent times is a bullish signal, and analysts are optimistic that the next major leg up could be on the horizon if key resistance levels are broken with conviction.