As Ethereum surges past critical resistance zones, technical indicators point toward a retest of major Fibonacci levels, potentially setting the stage for a breakout above $4,800.
Ethereum (ETH) has entered a high-stakes zone after breaking through the $4,000 psychological barrier, now trading near $4,194 at press time. A strong upward move has pushed ETH into a key supply zone, and market watchers are closely eyeing the Fibonacci 0.786 level at $4,389 as the next likely resistance.
Over the past several weeks, Ethereum has displayed strong momentum, rising nearly 94% year-to-date, as bulls reclaimed major support levels between $2,950 and $3,350. Now, the price is testing an important confluence zone, where historical resistance and Fibonacci retracement levels converge.
According to the daily chart, ETH has approached a multi-month resistance band that previously marked the local top in early 2025. If bulls manage to push the price decisively above $4,389, technical analysts see a clear path toward the $4,823 1.0 Fibonacci extension, with longer-term targets at $5,663 and $6,076, corresponding to the 1.414 and 1.618 extensions, respectively.
“The 0.786 Fib retracement around $4,389 is crucial,” notes BITX technical analyst. “A strong daily close above it would signal trend continuation, with the next meaningful resistance only near all-time highs.”
However, the red supply zone between $4,200 and $4,400 remains a strong barrier, as this region previously led to sharp pullbacks. Failure to break above this band could trigger a short-term consolidation or even a pullback toward the $3,350 support, marked by a previous accumulation zone.
Volume indicators suggest growing interest, with a significant increase in daily trading volume accompanying the recent breakout—often seen as confirmation of bullish momentum.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.