Since reaching a significant peak in September 2025, the Ethereum price has stabilized between the ranges of $4,300 and $4,500. Many market experts predict an upcoming surge, especially considering it only recently surpassed its historical high by a minimal margin. Prominent analysts assert that the ultimate goal for this cycle is for Ethereum to breach the $5,500 threshold, with aspirations extending even beyond $7,000.

Ethereum’s Bullish Outlook Continues

Despite a recent decline, where Ethereum’s price adjusted downwards by roughly 12%, the market sentiment remains bullish. Analysts like CRYPTO_SERGE argue that this correction is not a signal of weakness but rather a necessary phase for consolidation in preparation for upward momentum.

A notable observation is that this price adjustment has invoked a healthy recovery rather than a drastic drop. This indicates a resilient market for Ethereum, especially as the asset holds strong above the crucial support level of $4,200.

Currently, experts point out that Ethereum is forming a bullish pennant pattern. This continuation pattern typically appears after a sharp uptick followed by a short consolidation phase. A strong breakout from this pattern, aided by robust trading volume, could provide Ethereum a significant edge to continue its upward trajectory.

Critical Support Levels A Must Keep

The establishment of this bullish pennant requires that Ethereum maintains its vital support level. Currently, support remains strong at $4,200, and analysts highlight that protecting this level is crucial for a continued bullish outlook.

Should a breakout from this pennant occur, an impulsive wave could follow, potentially pushing the price higher. Forecasts suggest a rally of approximately 50%, leading the Ethereum price to revisit peaks of around $7,000. Market specialists advise to closely monitor the pennant breakout and anticipate a resurgence of bullish momentum once this consolidation phase concludes.

However, in the scenario where the support level falters, Ethereum could face challenges. A decline below this level may trigger a defensive stance at the next significant psychological barrier of $4,100, where bulls would rally to hold the line.