Ethereum is trading around $2.3k, holding near its highest levels since the February crash. Yet, there are signs of short-term fatigue after failing to sustain a breakout above the $2.4k resistance zone. The broader recovery remains intact, but the repeated failure at this ceiling is becoming a pattern that buyers will need to decisively break to shift the narrative.
Ethereum Price Analysis: The Daily Chart
The price is pressing against a genuinely significant confluence on the daily chart, comprised of the 100-day moving average and the $2.4k supply zone. $ETH has now closed above the long-term descending channel after months, but it is failing to follow through convincingly. That inability to sustain the breakout is the dominant story right now.
What keeps the setup from being outright bearish is the RSI, which has been grinding higher since February and is now holding above 50 on the daily timeframe. It is a reflection of steady bullish momentum building beneath the surface. The 200-day MA (~$2.9k) and the $2.8k supply zone sit well above, representing the next meaningful targets if the breakout does eventually confirm. Below, $1.8k remains the line in the sand, with $1.6k and $1.4k as deeper support levels.
$ETH/USDT 4-Hour Chart
The 4-hour chart is flashing a warning sign that deserves attention. After briefly breaking above $2.4k earlier this week, the price quickly reversed, and the RSI has printed a clear bearish divergence on this timeframe. The signal is marked visibly on the chart: the price made a higher high just below $2.5k while the RSI made a lower high. This is a classic signal of fading momentum at resistance.
Since that rejection, the price has pulled back to around $2.32k and is now sitting just above the bullish trendline from the early-April lows near $2k, with the RSI dropping toward the 40s. The trendline is being tested right now, alongside the recent short-term low.
Holding above these levels would keep the short-term structure of higher lows intact and leave the door open for another attempt at $2.4k. Conversely, a breakdown shifts the immediate focus lower toward the $2k psychological level, with the $1.8k support band as the deeper backstop.
Sentiment Analysis
Ethereum’s funding rates present an interesting picture heading into the week. The chart shows negative readings that have dominated April. While the price has been gradually rising over the past couple of weeks, the funding rates have yet to show convincing, consistent positive readings.
Futures market participants are seemingly expecting the price to fail at $2.4k. However, a breakout could lead to a short liquidation cascade that could push the price rapidly toward the next significant resistance located at $2.8k. But for this scenario to materialize, sufficient demand from the spot market should be available to push the price over the line, or another wave of correction would be imminent.
