Ethereum Surges 3% to $1,898, Breaking Key Resistance

Ethereum's price is currently trading near $1,898, following a significant breakout from the $1,830 resistance zone. This surge comes after multiple failed attempts earlier in May, with today's bullish engulfing pattern on lower timeframes propelling ETH above a key confluence of resistance. As Ethereum's price action tests the upper Bollinger Band, traders are closely monitoring whether this rally can sustain or fade into consolidation.

On the 30-minute and 4-hour charts, Ethereum's price shows a decisive bullish breakout above $1,830–$1,845, levels that had previously capped the price for much of early May. After a period of sideways movement within a narrowing triangle, ETH surged more than 3% in a matter of hours, reaching intraday highs above $1,915 before a slight pullback to the $1,890s. This rally follows a series of higher lows and trendline retests, culminating in a clean break above descending resistance. The price is now consolidating above prior resistance-turned-support near $1,880, which aligns with the midpoint of the breakout candle.

The move has invalidated prior bearish structures on both the 4-hour and 30-minute charts and places ETH within reach of testing the next macro resistance zone near $1,950. Several indicators support the breakout. On the 30-minute chart, the Relative Strength Index (RSI) has reached 74.50, indicating overbought conditions, but this level is typical during early-stage breakouts. As long as RSI consolidates near this zone without a sharp divergence, the uptrend remains valid. Meanwhile, the Moving Average Convergence Divergence (MACD) continues to print wide bullish bars, with the signal line accelerating upward—a classic short-term momentum continuation signal.

Ethereum's price volatility is expanding rapidly, as the Bollinger Bands have widened following the breakout. The price is currently near the upper band at $1,915, indicating potential for either a pause or minor retracement before continuation. On the weekly timeframe, ETH remains in a broader uptrend rebound from its March lows. The price is now approaching the 0.236 Fibonacci level at $2,074.93, which could act as a medium-term magnet if $1,950 is breached.

The immediate Ethereum price update shows bullish control, with short-term momentum and volume backing the breakout. The key levels to watch for May 9 are $1,880 (support) and $1,915 (resistance). A clean close above $1,915 would open the door to $1,950 and potentially $2,000 later this week, provided momentum holds. However, failure to hold $1,880 on a retest would suggest the move is overextended, potentially dragging ETH back toward $1,845 and the trendline near $1,820. Overall, the bias remains bullish unless $1,820 breaks decisively, which would flip the short-term structure back toward neutral. Until then, Ethereum price spikes and expanding volatility signal active breakout conditions.