Ethereum Surges 7% to $2,770, Eyes $3,000

Ethereum has recently surged past the $2,770 resistance level, a significant milestone that has captured the attention of traders and analysts alike. This breakout follows a prolonged period of consolidation, during which the cryptocurrency traded within a narrow range between $2,580 and $2,760 on the 4-hour chart. The move above $2,770 is now being retested, with price action currently holding above the breakout zone, suggesting a strong setup for continuation.

The bullish structure formed by Ethereum after this breakout targets levels above $2,880. Traders are closely monitoring whether Ethereum can maintain its position above the $2,770 mark, as this could pave the way for a push towards $3,000. The successful retest of the $2,770 level as support would validate the bullish continuation structure, potentially attracting more participants targeting levels like $2,900 and $3,000.

Ethereum's price action indicates a bullish structure on the 4-hour timeframe, with the breakout above resistance following a tight coil of price movement. This pattern generally builds pressure that can lead to extended rallies. The surge came with expanded price bars, signaling momentum, and the clean rejection of lower prices before the breakout adds further strength to this setup. If the support zone continues to hold, the bullish pattern remains intact. However, a loss of this zone might delay upward continuation but won’t immediately negate the trend.

Market observers expect ETH to maintain a price above $2,760 to sustain a bullish structure. Closing below this area could lead to a deeper retracement, testing levels under $2,700. The current Ethereum move raises a key question for short-term traders: can ETH hold above $2,770 and continue higher? The answer lies in how the asset behaves during the backtest. A successful retest often confirms that previous resistance has turned to support, inviting stronger buying activity and potentially providing ETH the strength to reach new short-term highs.

Failure to hold this level, however, may prompt a shift in structure. Traders could interpret the breakdown as weakness, pushing ETH back to consolidation zones. Price must confirm direction in the next few sessions for trend clarity. The current price action suggests that Ethereum is in a critical phase, with its next price move dependent on whether it can break above key resistance levels or retest support zones. The $2,770–$2,785 range is a crucial resistance zone, while the $2,700 to $2,760 range acts as a strong support zone. If Ethereum can break above $2,850, it could signal a continuation of the bullish trend, with potential for further gains. However, if it fails to hold above key support levels, a correction could be in motion, with the cryptocurrency potentially retracing to lower levels.