Ethereum is currently trading above the $2,000 mark, having recently surged to a peak of $2,490 before hitting resistance. Following a period of significant selling and negative sentiment, Ethereum is beginning to establish a new trend as it regains crucial levels. This rally has rekindled hope in the altcoin market, particularly as Bitcoin hovers near its historical highs. The upcoming weekend may be crucial — increased volatility is anticipated in the crypto realm, with Ethereum likely taking the lead if the upward trend persists.

Reputable analyst Ted Pillows expressed a positive perspective, suggesting that the recent surge is just the start. He anticipates that Ethereum could reach beyond $12,000 by 2025, fueled by strong fundamentals, growing institutional investment, and enhanced network capabilities. Pillows believes Ethereum’s dominance in DeFi, real-world asset tokenization, and stablecoin frameworks will drive its long-term growth.

With ETH maintaining its position above $2,000 and testing support around $2,300, traders are closely monitoring the market for further developments. A sustained bounce could validate the beginning of a bullish phase, positioning Ethereum to capitalize on increasing speculation for an altcoin season.

Ethereum Maintains Critical Support as Market Anticipates Altseason Surge

Ethereum is currently stabilizing below the $2,400 mark following a significant breakout that saw it rise over 35% in just under two days. This price increase has revived bullish sentiment throughout the market, pushing ETH into an essential support zone where buyers are actively defending recent gains. After enduring months of downward pressure, signs indicate that Ethereum may be establishing a more sustainable trend. Analysts suggest this breakout could trigger a broader rally across the altcoin market, where many cryptocurrencies remain undervalued after prolonged decreases.

Per Pillows, this rally marks just the beginning, with Ethereum poised to exceed $12,000 in 2025 due to several converging factors that suggest a long-term price increase.

Ethereum has emerged as a primary target for institutional investment among altcoins, notably in areas such as real-world assets, decentralized finance, and stablecoins. Furthermore, there is growing anticipation for the approval of Ethereum ETF products that facilitate staking, potentially shrinking supply while boosting demand.

The recent Pectra Upgrade has begun effectively burning significant quantities of ETH, reducing supply in tandem with increasing demand. Pillows also highlights favorable macroeconomic trends, especially regarding a potential change in monetary policy from the Federal Reserve and other central banks later this year. If the market environment shifts towards risk-taking, Ethereum could significantly benefit. For the time being, the price structure appears solid, and with bulls supporting the asset, optimism is rising regarding a larger upward movement for ETH.

Ethereum Gains Momentum After Notable Surge: $2,500 is Key Challenge

The daily chart for Ethereum indicates a substantial breakout from a period of consolidation, with ETH surpassing the crucial $2,000 psychological level and reaching a local peak of approximately $2,490. This movement signals one of the most pronounced two-day rallies observed in recent times, spurred by renewed confidence in the market and robust momentum in the crypto sector. The surge in daily trading volume supports this upward move, pointing to genuine buying interest rather than a fleeting spike.

Currently, ETH has paused below the 200-day exponential moving average (EMA), which is near $2,427, and just shy of the 200-day simple moving average (SMA) at $2,699. These levels represent significant resistance that bulls must navigate to sustain the breakout and confirm a new upward trend. For now, Ethereum is maintaining its stand above previous resistance levels in the $2,200–$2,250 range, effectively transforming these into support.

If ETH is able to hold above this new foundation and maintain its bullish structure, the next target zone could be around $2,700–$2,900, which aligns with the moving averages. A failure to secure this range might lead to a revisit of the $2,000 breakout point. Overall, the price activity reflects a bullish sentiment, and Ethereum must safeguard its recent progress and convert key moving averages to drive a comprehensive recovery trend.

Featured image from Dall-E, chart from TradingView