- Ethereum price has rallied from $1,600 to nearly $5,000 since mid-April.
- ETH is consolidating between $4,100 and $4,850 after strong gains.
- Volume has declined during consolidation, signaling indecision.
Ethereum price is at a crucial crossroads. The ETH spent much time consolidating between $4,100 and $4,850 after a sharp upward movement between $1,600 and almost $5,000. Is it a bullish flag that is about to break to a higher level or is it a top under pressure? With volume fading, the next move could be explosive. Traders should keep a close eye on $4,850—breakout or breakdown, the market’s next decision is coming soon.
Ethereum Price Holds Above $4,300 as Market Awaits Breakout or Breakdown
According to the daily graph of Ethereum price in tradingview, the trend is strongly bullish and started to develop approximately in mid-April, and ETH started to gain points starting around $1,600 and moving to just under 5,000 in mid-August. This was a strong move as it was backed by the growing volume, regular higher highs and higher lows, strong market momentum and investor confidence.
At present, ETH price trades at 4,327.76 and seems in a period of consolidation. After hitting a local high near $4,850, the price has been moving sideways in a range between $4,100 and $4,850, forming what could be a bullish flag or a distribution zone, depending on how the price resolves. Volume has declined during this phase, which is typical of consolidation but also suggests indecision in the market.
Key support levels lie at $4,300 (current price zone), followed by $4,000 and $3,500. A strong daily close below $4,100 could lead to further downside testing. On the upside, there is resistance at $4,850 and a breakout above this level may be the way to test $5,000, which is a critical technical and psychological level.
No bearish reversal pattern can be observed in the short term, and until ETH price will be below the price of $4,000, the long-term uptrend will be preserved. On the other hand, buyers must regain $4850 at high volume to assure continuation. In the meantime, ETH is neither bullish nor bearish, and the consolidation process indicates that the market is about to take its next big step. Volume is an indicator that traders should monitor to confirm breakout.
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