Ethereum Nears Breakout as Analysts Pin Hopes on Clearing $2.8K Resistance
Ethereum's price has been on a tear since August, and analysts say it's about to break through a major resistance barrier.
The asset has reclaimed its 200-day moving average and pushed into the $2,800 region, where it was stopped last week. Daan Crypto Traders highlighted the change in Ethereum's market structure, confirming that a weekly close above the 200 MA and EMA has solidified its bullish reversal.
The $2,800 level has been a stubborn resistance for Ethereum, stopping its progress on several occasions in the past few years. Analysts agree that clearing this hurdle would leave relatively little high-timeframe resistance before the $3,000-$4,000 region comes back into play.
Michaël van de Poppe is bullish on Ethereum's broader structure, claiming it's 'literally a matter of time' before the asset sees another strong breakout to the upside. However, CW argues that Ethereum's high-leverage positions have fallen sharply recently, leaving the asset vulnerable to increased volatility.
Merlijn The Trader remains constructive on Ethereum's market structure, pointing out an emptied validator exit queue and reduced forced selling pressure. He believes this could be a turning point for the asset, which has already risen 80% from its July bottom.