Ethereum climbed above $3,000 as buyers regained control of short-term price action. The second-largest cryptocurrency now trades above $3,050 but faces a critical test at the $3,140 resistance level, where a bearish trend line has formed on hourly charts.
What Happened: Technical Breakout
Ethereum pushed through the $3,000 and $3,020 resistance zones after holding support near $2,920.
The cryptocurrency is now trading above its 100-hourly Simple Moving Average, a technical indicator that suggests continued bullish momentum. Recent price action showed a correction from $3,240, dropping below the 50% Fibonacci retracement level of the upward wave from $2,718 to $3,240, but buyers stepped in to defend the $2,920 support zone.
The price structure shows key resistance at $3,140, followed by secondary barriers at $3,200 and $3,250. A break above $3,250 could open the path toward $3,320, with potential extension to $3,450 or even $3,500 in the near term.
The move mirrors recent strength in Bitcoin, which has also posted gains in recent sessions.
Also Read: Solana Recovery Extension Hinges on Decisive Break Above $140 Resistance
Technical indicators support the bullish case.
The hourly MACD is gaining momentum in positive territory, while the Relative Strength Index sits above 50, indicating buyers maintain the upper hand. If Ethereum fails to clear $3,140, support levels emerge at $3,050, $3,000, and $2,950, with stronger support at $2,920 and the 61.8% Fibonacci retracement level.
Why It Matters: Trend Confirmation
The $3,140 level represents a make-or-break point for Ethereum's short-term trajectory. A sustained break above this resistance would confirm buyers' ability to extend the rally that began from November lows. The technical setup suggests the market is testing whether recent gains can transition from a short-term bounce into a more sustained uptrend.
Traders are watching the 100-hourly moving average and the $3,000 level as key support zones that could determine whether Ethereum maintains its upward bias or slides back toward $2,920.
The current consolidation pattern suggests the market is building energy for its next directional move, with the $3,140 resistance acting as the immediate catalyst for either continuation or reversal.
Read Next: Bitcoin Quantum Threat Timeline Disputed As a16z Research Sparks Industry Split