Welcome back,
The entire crypto market has once again shifted to a bullish sentiment and people are already talking about the upcoming bull run. Ethereum is back in the headlines for trying to break its most important resistance, something it has failed to do four times in this cycle. In this blog, I am going to share the technical analysis for Ethereum and we will try to understand whether we are actually going to break those important resistance levels this time. And probably, by the end of this blog, you will have a clear picture of how the market might shape in the coming days for Ethereum and the entire crypto market.
So in the screenshot below, I have shared a one day time frame chart for Ethereum and I have taken it from Binance. You can see there are two important levels marked by the yellow lines, one of them is the support and the other is the resistance. The diagonal resistance was broken once back in December 2024, that is when we saw the crypto market booming and Ethereum touching the $4100 mark. Then again, we broke this diagonal resistance in July 2025 and since then, we are trading above it. So now we are going to find new resistance levels that we need to focus on. For now, the diagonal resistance is successfully broken and we are good to go with something new.
In the screenshot below, I have shared another resistance line that has been the most important one for Ethereum in this cycle. We have been unable to break this since January 2022. Even after trying to break it around three times, Ethereum still came down below that resistance and whenever that happened, we saw a massive crash in the market.
That is why it is very important to not only break this resistance this time but also stay above it. Because the last three times we broke this resistance and came down, the market faced serious crashes. The first crash was in March 2024, from $4100 to $2800. Then once again from $4000 to around $2200 and the third time was in December 2024, Ethereum reached $4100 again and then crashed to $1400, which was the lowest price of this cycle. This time, we have broken this resistance once again and are currently trading at $3900. So let us hope we do not fall below this level, because the last three times we did, it turned out to be a disaster for Ethereum.
In the screenshot below, I have shared one more resistance level, this one is at $4100. Once we break that, we will aim for Ethereum’s all time high, which was in the $4800-4900 range. But to get there, we must break both of these resistance levels. And for now, we are still trading below the first resistance line, as you can see in the screenshot.
Let us now discuss whether Ethereum is going to break this level this time or if it will get rejected again and come down to lower values. In my opinion, I think we are going to break this resistance very soon. Unlike the last few times, when Ethereum crashed from these levels, institutional money was not involved back then. But now, institutions have started investing in Ethereum and it is very unlikely that we will see a massive crash again.
When Ethereum hit $1400 last time, that is when the institutional money started flowing in very quickly. It shows that the dump might have been pre planned or a manipulated move where institutions wanted to enter the market. So I believe this time we are going to break these resistance levels and not only that, we might also go on to break the all time high in the next few weeks or months. That is just my opinion, based on what the fundamentals and technicals are telling me.
Obviously, I am not a financial advisor, so I am not saying you should invest your money in Ethereum at this point. In fact, the best time to invest in Ethereum was when it was trading below $2000 or even below $3000. If you did not invest at that time, you are already late and I think you should now look for other opportunities in altcoins. As for me, I personally invested in Ethereum between $2000 and $3000 and I plan to hold it for the long term because I truly believe we will see a new all time high in this bull cycle.
For now, let us see when these resistance levels will be broken, whether it will happen very soon or if Ethereum will struggle a little more before finally pushing past it. We just have to wait a few more days to get a clear picture of what the market has in store for us.
At this point, I am happy because the market is finally showing some signs of Ethereum breaking its most important resistance. And if that happens, the altcoins will definitely get a direct boost in their prices as well. This time, hopefully, I am going to exit the market on time because I know the market will not give us another opportunity like this. The bear cycle might start once Ethereum hits its new all time high and starts coming down again.
Thank you and happy trading everyone.
