Ethereum News Today: Ethereum Surges 41% to $2,977, Tests $3,400-$3,600 Resistance

Ethereum has shown a significant rebound, surging from $2,100 and breaking through the $2,977 resistance level. This upward movement was catalyzed by a bullish Morning Star pattern, which indicated a potential reversal from the prolonged downward pressure. The cryptocurrency is now testing the resistance area between $3,400 and $3,600, a zone that has historically blocked previous breakout attempts.

The support zone near $2,977 has proven to be robust, providing a solid foundation for Ethereum's price movements. This support could potentially drive Ethereum toward the $4,200 mark in the coming weeks, according to analysts' forecasts. The weekly ETH/USD chart reveals a bear trap that formed at the beginning of Q2 2025, pulling the price into the $2,100 zone. This level coincided with a fair value gap created during the 2023 rally, and price found support there, immediately reversing with a sharp recovery candle.

The chart also shows a Morning Star reversal formation at the bottom, a pattern known for signaling potential macro reversals. The rebound from that region returned ETH back above the long-standing green support line, which has historically acted as the trend floor since 2022. Volume on this rally has been relatively steady, with ETH reclaiming the equilibrium zone around $2,800 and closing above the 0.618 Fibonacci level. This reclaim gave bullish participants room to target the $2,977 resistance, which previously acted as a key psychological and technical ceiling in 2024’s price structure.

Ethereum now faces an immediate test at the red diagonal resistance zone between $3,400 and $3,600. This area has been marked by failed breakouts in the past, most notably in early 2024 when a bull trap formed near $4,000. That event was followed by an Evening Star reversal, which triggered a long decline into Q1 2025. If Ethereum can decisively clear this zone, the path toward previous highs opens more clearly. The $3,400 marker aligns with a bullish order target and has been highlighted in chart annotations. Breaking through this level would confirm the bear trap as a bottoming event with strength.

Momentum on trend indicators shows favorable conditions, especially as price maintains distance from the $2,977 reclaim level. Current price action remains bullish as long as candles continue to close above that line. A return to this red zone without rejection would support a sustained uptrend toward $4,200 or higher. The historical significance of this resistance zone makes this phase particularly sensitive. Past traps near this level have misled both bulls and bears. The current approach appears more structurally sound, given the recovery from FVG and alignment with macro trendlines.

The Ethereum weekly chart features both technical traps and breakout signals, framing a pivotal price phase. Price has already regained the $2,977 breakout and is pushing toward the $3,400–$3,600 resistance. The red diagonal trendline must break cleanly for further upside to be validated. The equilibrium zone from $2,800 to $2,977 now acts as a critical support base for the bulls. A successful retest of this zone could provide the fuel for ETH to reclaim the bullish order block above $3,600. Long-term traders will watch for continued strength above this breakout point to confirm a change in trend.

With the morning star reversal in place and market structure shifting, the question remains—can Ethereum break through $3,600 and set up for a larger rally? The support zone near $2,977 remains strong and could help push Ethereum toward $4,200 in the coming weeks. The current price action and technical indicators suggest a bullish outlook, but the resistance zone between $3,400 and $3,600 will be a critical test for Ethereum's upward momentum.