Ethereum Bounces Back—But Can It Hold?
After slipping below $2,300 last week, Ethereum has clawed its way back up, trading around $2,417 at the time of writing. The rebound isn’t exactly shocking—buyers tend to step in when ETH dips too far below key levels—but the speed of the recovery has caught some off guard.
The move comes after Ethereum briefly touched the so-called “Bull Market Support Band,” a zone that’s historically acted as a springboard for prices. It also reclaimed a long-term trendline that, until recently, looked like it might break. That’s a good sign for bulls, at least for now. But there’s still a wall of resistance ahead, and not everyone’s convinced this rally has legs.
Where’s the Resistance?
Right now, Ethereum is bumping up against a cluster of moving averages between $2,343 and $2,478. Those levels have been trouble before, and they’re likely to be again. The upper Bollinger Band sits just above at $2,493, adding another hurdle. If ETH can push past that, things might get interesting. If not? Well, we could be in for more back-and-forth.
The 4-hour chart shows some encouraging signs—like the Supertrend indicator flipping bullish—but momentum isn’t exactly roaring. The RSI is at 64.42, which is strong but edging toward overbought. The MACD is still positive, though it’s starting to flatten out. In other words, there’s energy here, but it’s not unstoppable.
Why the Sudden Jump?
It’s hard to pin the rebound on any single catalyst. Maybe it’s just oversold conditions finally attracting buyers. Or perhaps traders are betting on Ethereum’s longer-term trend holding. The Ichimoku Cloud looks a bit brighter, with ETH now above the Tenkan-sen and Kijun-sen lines. Even the Chaikin Money Flow, while barely positive, suggests money isn’t rushing *out* anymore.
Volatility is picking up, too. The Bollinger Bands are widening, which often means bigger moves are coming—one way or another. Ethereum’s hovering near the mid-band, and a clean break above could open the door to $2,600. But if it gets rejected, support around $2,280–$2,340 might come back into play.
What’s Next?
The short-term picture has improved, no question. But Ethereum’s recovery isn’t a sure thing yet. Clearing $2,450 with conviction could set the stage for more gains. If it stalls here, though, we might just chop around for a while.
For now, the higher lows are a decent sign. But with so much resistance overhead, it’s too early to call this a full turnaround. Traders will be watching volume closely—if it dries up on the next push, that’s a red flag.
Either way, things are getting lively again. And after the sluggishness of the past few weeks, that’s something.
