Ethereum Price Outlook: Will ETH Break Through $1.8K Resistance?

Ethereum’s price surged past $1.5K support and is nearing a critical $1.8K resistance, where some consolidation is expected. The daily and 4-hour charts suggest a possible bullish reversal towards $2.1K, contingent on future buyer sentiment. However, current funding rates indicate that the recent spike is primarily due to spot market interest, highlighting the need for increased activity in futures for sustained growth.

Ethereum has recently shown a significant uptick in buying momentum, especially as it rebounded from the critical $1.5K support level. This surge has propelled ETH towards a considerable resistance at $1.8K, before which a period of consolidation is anticipated. Investors are keenly observing this range, key for potential future movements.

On the daily chart, after several weeks of stagnant price movements near the important $1.5K long-term support, Ethereum saw an influx of buyers that sent values soaring. This shift toward the pivotal $1.8K resistance coincides with an order block influential traders often target, underlining its critical role. A breakout above this point may signal a bullish reversal, potentially paving the way for a climb to $2.1K, although some consolidation seems likely first.

Zooming into the 4-hour timeframe, the compression seen earlier was disrupted by strong buyer interest, producing a breakout from the descending channel. This led to impressive bullish drive towards the critical $1.8K resistance. Historically, this level aligns with Ethereum’s past swing lows, marking it as a significant supply zone. As such, ETH might experience short-term consolidation until a clear demand or supply signal arises. Should prices surpass that $1.8K mark, the next target could shift to $2.1K.

Examining sentiment through funding rates presents essential insights regarding Ethereum’s recent price boosts. Generally, a healthy bullish trend correlates with increasing funding rates, pointing to heightened buyer activity across both futures and spot markets. However, current funding rates appear stagnant without pronounced growth. This indicates that recent gains in Ethereum price have leaned heavily on spot market investments rather than speculative futures trading. For confidence to solidify and sustain this upward trend, a rise in funding rates is necessary, indicating robust buyer engagement in the futures market.

For those interested in trading, Binance is offering a special welcome incentive of $600 with a new account registration (more details available online). Additionally, CryptoPotato readers can benefit from a limited-time offer at Bybit with $500 in free trading positions on any coin through their promotional link.

As always, any investment activity should involve careful personal research and consideration. The insights provided here reflect the opinions and analyses of the writers, not necessarily representing CryptoPotato’s views on trading actions. Proceed cautiously and review any advice within the context of one’s investment strategy.