Ethereum has surged about 36% from its recent accumulation zone, pushing the price into a critical zone where momentum is often tested. With key resistance now in play and signs of hesitation emerging, the market is approaching a decisive moment that could determine whether the rally continues or a pullback occurs.
Ethereum surges 36% from accumulation zone
According to Crypto Patel, ETH jumped around 36% from its accumulation zone, pushing the price into a critical resistance zone. After such a strong move, this region is generally considered a logical area for swing traders to consider taking partial profits while observing the price reaction.
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The analyst highlighted several key levels that could shape the next phase of price action. On the positive side, the first target is around $2,828, marking a fair value gap (FVG) that price could look to fill. Just above is the main resistance and decision zone near $2,900. On the downside, a return to the $2,000 region would constitute an invalidation point, signaling that the bullish structure has weakened.
From a scenario perspective, a decisive break above $2,900, especially if supported by strong volume, would confirm bullish continuation. Such a move could significantly shift market sentiment, opening the door to much bigger change. rally in the region of $10,000. On the other hand, failure to break above $2,900 could trigger a larger pullback, with the price likely moving back towards the $2,000 zone as part of a broader corrective phase.
Ultimately, the emphasis remains on discipline and patience. Rather than chasing prices or reacting to hype, the strategy is to let the market confirm its direction, which helps avoid unnecessary risks on the next move.
A rejection at the $2,400 resistance level
Analyst Ted highlighted that Ethereum attempted to reclaim the $2,400 level but ultimately failed to do so. This rejection suggests that buyers are still struggling to regain control of key resistances, holding positions short. momentum on the weaker side.
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After the failure, attention now shifts to the next key support area around $2,250. This level will likely be tested if the selling pressure continues, and how price reacts to it will be crucial. A strong rebound could stabilize the structure, while a breakout could open the door to a deeper correction.
Currently, Ethereum is underperforming compared to Bitcoinwhich adds another layer of risk. When ETH shows relative weakness, it often becomes more vulnerable during broader market downturns. As a result, even a modest correction in Bitcoin could have an amplified negative impact on Ethereum’s price action in the short term.
Featured image from Getty Images, chart from Tradingview.com
