Ethereum Surges 21% Amid Trump's Tariff Pause

Ethereum has recently shown a significant rebound, rising 21% from its low of $1,380 following a week of intense selling pressure. This rally was triggered by a major geopolitical development: the announcement by US President Donald Trump of a 90-day pause on reciprocal tariffs for all countries except China, which now faces a steep 145% tariff. This news injected a wave of optimism across global markets, with Ethereum being one of the top beneficiaries.

Despite this bullish recovery, Ethereum remains below critical resistance levels, and the broader price structure continues to form a consolidation pattern. The market is now awaiting confirmation of whether this rebound will evolve into a full reversal or simply a relief rally amid continued macroeconomic uncertainty.

Crypto analyst Ali Martinez shared a technical chart highlighting that Ethereum is currently consolidating within a symmetrical triangle on the hourly chart. According to Martinez, this pattern typically signals an imminent breakout, and if Ethereum breaks upward, it could trigger a 17% move to the upside.

Ethereum is trading at a pivotal resistance level that could determine the next major move in the market. After rebounding 21% from its $1,380 low, Ethereum now sits just below key levels that, if reclaimed, could spark a broader recovery rally. Despite this strong bounce, macroeconomic tensions remain in focus, with ongoing uncertainty around US tariffs and foreign policy—especially the 145% tariff on China—keeping investors cautious.

The crypto market, like equities, continues to be shaped by global developments. While some analysts believe Ethereum has already priced in the worst of the downturn, others argue that the recent rally is only a temporary relief within the early stages of a broader bear market. The debate reflects the current state of sentiment: mixed and driven more by short-term reactions than long-term conviction.

From a technical standpoint, Ethereum may be setting up for a decisive move. According to Martinez, Ethereum is currently consolidating within a symmetrical triangle on the hourly chart. This pattern often precedes a breakout, and Martinez suggests that a 17% move could follow. If Ethereum breaks to the upside, it could push the price back toward the $2,000 level—a psychological and technical milestone for the asset.

For now, all eyes are on whether bulls can maintain momentum and breach the upper trendline of the triangle. A strong breakout could signal a shift in the broader market narrative, transforming current consolidation into the foundation for a sustained rally. Still, given the unstable macro environment, traders remain cautious, watching for confirmation before fully committing to a bullish thesis.

Ethereum is trading at $1,670 after briefly setting a fresh 4-hour high around $1,691—slightly above the previous peak. This minor breakout signals that bullish momentum is building, but it remains fragile. To confirm a full reversal and begin a true recovery rally, Ethereum must reclaim the $1,875 level, which aligns with both the 4-hour 200-day moving average (MA) and the exponential moving average (EMA).

These indicators have acted as strong dynamic resistance throughout Ethereum’s recent downtrend, and only a decisive break above them would validate bullish control and potentially trigger a surge back toward the $2,000 level. A move past $1,875 would also indicate a shift in short-term market structure, giving bulls the confidence needed to drive higher highs.

However, if Ethereum fails to push through this critical resistance zone, the asset risks returning to lower demand levels. A rejection at these moving averages could send Ethereum back to $1,500 or even lower, especially if broader market sentiment deteriorates. With macroeconomic uncertainty and tariff-related volatility still looming, bulls need to act fast—or risk losing the progress made during this recovery attempt. For now, all eyes are on the $1,875 threshold.