Ethereum Eyes $4,000 After Breaking Key Resistance at $3,000

Ethereum (ETH) has finally broken above the critical $3,000 level after weeks of sideways consolidation, signaling renewed bullish momentum. The breakout from a multi-month range on the daily chart, coupled with rising trading volume, points to growing market confidence. Currently, ETH is trading well above key moving averages — the 50-day, 100-day, and 200-day — a classic sign of a strong uptrend. These moving averages often act as dynamic support in healthy bullish markets.

The Relative Strength Index (RSI) has surged past 70, entering overbought territory. While this may increase the odds of short-term profit-taking, overbought RSI levels can persist during strong bull markets. Ethereum’s climb past $3,000 also clears a major resistance zone, opening a potential price gap between $3,200 and $4,000. If momentum holds, ETH could fill this gap quickly.

Structurally, this rally mirrors previous bullish cycles where significant breakouts led to parabolic runs. The key level to watch is $3,000; holding above this zone could attract more buyers and propel prices toward $3,500 and even $4,000. However, a drop below $2,900 could trigger a return to the prior range and dampen short-term sentiment.

Investors should focus on Ethereum’s ability to maintain support above $3,000 as a confirmation of trend continuation. With bulls in control and historical breakout patterns aligning, ETH’s path toward higher levels looks increasingly likely — as long as buying pressure remains strong.