Ethereum Price Rebounds to $2,409 as Bulls Target $2,750 Breakout
ETH rallies 15% from $2,100 lows after ceasefire shock—can the next leg hit $3,000? | That's TradingNEWS
Ethereum (ETH-USD) Faces Volatility Storm but Finds New Momentum Toward $2,750
ETH Surges From Ceasefire Chaos to $2,400, But Key Levels Remain in Play
Ethereum (ETH-USD) has clawed back from a violent collapse to $2,100 following geopolitical turmoil in the Middle East. Triggered by Iranian missile strikes on U.S. military installations in Qatar and subsequent retaliatory action by the U.S., ETH tumbled but swiftly rebounded after a surprise ceasefire was announced by former President Donald Trump. The ceasefire, confirmed on Truth Social, catalyzed a 15% rally that brought Ethereum back above $2,400.
Real-Time Price Data Signals Aggressive Buy-Back: $750M Realized, $335M Shorts Wiped Out
With ETH trading at approximately $2,409 at the time of writing, trading volume has jumped to $28 billion, up 18% in 24 hours. Over $335 million in short liquidations and $750 million in realized PnL underscore the force of the short squeeze. On-chain metrics from Santiment reveal heavy activity from short-term holders who dumped positions during the decline, only to trigger a wave of forced liquidations as price reversed. Coinglass shows $600 million in ETH long positions were liquidated over the weekend.
Technical Landscape: ETH Reclaims Bull Flag Structure, Eyes $2,750 Resistance
Technical indicators are flashing mixed signals. ETH is attempting to flip the upper band of a descending channel into support. If the $2,450 neckline of an inverse head-and-shoulders pattern confirms, a breakout toward $2,700 becomes increasingly likely. However, the 100-day SMA at $2,110 and strong resistance at $2,750 cap upside momentum. The MACD remains in bearish territory but is converging, hinting at a potential bullish crossover. RSI has bounced from oversold and now sits at 48, suggesting accumulation may be building.
On-Chain Metrics Show Weakness in Usage, But ETF Inflows Offer Counterweight
Despite the rally, Ethereum’s user engagement has dipped. According to Artemis, daily active addresses fell 26%, while transactions declined 14%. DeFi TVL plunged to $57 billion, a 10% weekly drop. This contraction raises red flags on organic demand. However, ETF flows remain a bullish offset—U.S. spot Ethereum ETFs logged their ninth consecutive week of inflows, with $124 million added, highlighting persistent institutional interest.
EIP-7782 and Wyckoff Structure Suggest Higher Long-Term Targets
Traders are closely watching Ethereum’s Wyckoff re-accumulation pattern, with potential breakouts to $4,000 and even $8,000 by 2026. Analysts including Bitcoinsensus and Merlijn The Trader suggest the asset is repeating its 2019–2021 cycle. Meanwhile, Ethereum Improvement Proposal (EIP) 7782 aims to cut block times in half—from 12 seconds to 6 seconds—paving the way for a more scalable network. Combined with plans to expand gas limits and blob capacity, ETH's upgrade roadmap adds long-term bullish pressure.
Exchange Flows Reveal Bullish Accumulation: 110,000 ETH Pulled from CEXs
Data from CryptoQuant shows a net outflow of nearly 110,000 ETH over the past three days. Outflows from exchanges imply growing investor confidence as holders move assets off centralized platforms, typically seen as a prelude to longer-term holding. Meanwhile, LookonChain tracked a whale purchase of 3,704 ETH worth $8.9 million via Galaxy Digital’s OTC desk. This same whale has acquired 161,112 ETH (~$422 million) over three weeks, signaling large-scale accumulation.
Volume-Supported Rally May Extend to $2,850, But Risks Linger Below $2,200
Ethereum remains 50% off its all-time high of $4,891, and while the recent move has been impressive, confirmation above $2,750 is needed. The Bollinger Bands show ETH testing the midline, and a close above the upper band could enable a rally to $2,850 and eventually $3,000. Should momentum fade, a retest of $2,200 or even $1,800 cannot be ruled out. Spot investors are slowly returning, but volatility remains elevated. 7-day implied volatility jumped 15 points to 83%, per Derive.
Ethereum Sentiment Turns Neutral, But Pattern Echoes 2020–2021 Setup
The Fear & Greed Index has climbed from 37 to 47, reflecting less fear-driven activity. Analysts cite ETH’s consistent higher lows and reclaiming of key moving averages as signals the bottom may be in. Christiaan, a prominent analyst on X, suggested a move past $3,000 is not speculative, but probable. From a structural perspective, the consolidation within the five-year Wyckoff framework is still unfolding.
Verdict: ETH-USD Holds Bullish Structure but Must Clear $2,750 to Confirm Trend
Ethereum (ETH-USD) shows strong bounce capability under macro duress and technical resilience following major liquidations and geopolitical shocks. But to validate this breakout, ETH must reclaim and hold $2,750. Short-term support lies at $2,350 and $2,110. Institutional inflows, large OTC accumulation, and bullish structural patterns favor a Buy rating on weakness toward $2,300–$2,350, with targets of $2,850 and $3,000, and longer-term stretch goals at $4,000 and $8,000 contingent on EIP execution and global sentiment.
