Ethereum Reclaims $2,400 After 2.9% Weekly Loss, Eyes $4,000

Ethereum, the second-largest cryptocurrency by market capitalization, has shown signs of recovery, aligning with the broader crypto market trend. After a brief drop to a local low of $2,177 over the weekend, Ethereum has climbed back above $2,400. At the time of writing, Ethereum is trading at approximately $2,412, reflecting a 2.9% loss over the past week and a 2.4% dip over the last two weeks.

A CryptoQuant analyst has assessed Ethereum’s interaction with the 50-day Exponential Moving Average (EMA), a commonly used trend indicator, and provided an outlook on the asset's likely trajectory. The analyst believes that a decisive break above the 50-day EMA could propel ETH to the $2,800 level, with a further push toward $4,000 if resistance levels are breached. To confirm a breakout, Ethereum must close consistently above the $2,500–$2,600 range. Past data suggests that ETH has previously moved sharply after breaking out of similar consolidation zones.

Specifically, in an earlier phase, Ethereum oscillated between $2,100 and $2,800 before moving strongly to $4,000. A similar move could unfold if ETH can surpass the $2,800 resistance in the current market cycle. The analyst also noted that Ethereum’s 50-week EMA remains a longer-term resistance barrier. A breach of this technical ceiling, combined with strong daily closes above short-term resistance levels, could indicate the beginning of a more aggressive upward trend. However, the analyst advised caution, pointing out that macroeconomic and geopolitical events could trigger market volatility and recommended avoiding excessive leverage during such periods.

Another crypto market analyst, Javon Marks, presented a more aggressive outlook for Ethereum. He observed that Ethereum has broken above a descending trend line, which historically aligns with upward price continuation. Marks projected that Ethereum could see an 81% gain to reach a target price of $4,811.71. Furthermore, if momentum builds, an additional rally could extend gains by another 77%, pushing prices toward $8,557.68. These projections are not guaranteed, but they highlight growing optimism in Ethereum’s market structure, especially among traders who base strategies on technical chart formations.

Despite recent volatility, the broader sentiment appears to favor a continuation of the upward trend, provided critical resistance levels are overcome and no major disruptive events emerge. Ethereum’s price is currently moving sideways on the 2-hour chart, indicating a period of consolidation before a potential breakout. The overall market sentiment suggests that Ethereum bulls are waking up, with the $4,000 target back on the radar after reclaiming key levels.