Ethereum Price Analysis: Is the Bullish Momentum Over?
2025-05-13
Ethereum (ETH) recently posted a strong rally that had investors feeling optimistic. After climbing above the $2,500 mark and reaching a high of $2,624, ETH seemed to regain its upward strength.
However, a recent dip has sparked concerns about whether this bullish momentum is starting to fade. Traders and analysts are now debating whether this price pullback is a healthy pause or a warning signal for deeper declines.
Ethereum’s Recent Rally
Ethereum’s price action over the past few weeks has been impressive. From a swing low of $2,272, ETH surged more than 35 percent to test resistance around $2,600. The rally reflected broader market strength, with Ethereum outperforming even Bitcoin at times.
Technical indicators during this phase showed rising momentum, and many traders were preparing for the next leg up.
The move above $2,400 and later $2,550 marked key technical breakouts. However, the price encountered strong resistance near $2,620, leading to a short-term correction.
The break below the bullish trend line near $2,500 added to the cautious tone, though ETH remains above the 100-hourly Simple Moving Average.
Is This a Normal Correction or Something More?
Corrections in a bullish trend are common and often necessary for markets to remain stable. Ethereum’s drop below $2,500 and the subsequent retest of $2,400 does not necessarily mean the uptrend is over.
However, it does signal a possible shift in short-term sentiment. If ETH cannot recover above $2,500 soon, it may face further pressure.
Immediate support lies at $2,400, while a stronger support zone is seen near $2,350. This level also coincides with the 76.4 percent Fibonacci retracement level of the recent move from $2,272 to $2,624.
If ETH breaks below this point, traders may look for the next key support near $2,275. A deeper decline could bring prices down toward $2,220.
Resistance Levels to Watch
On the upside, Ethereum needs to reclaim $2,500 to restore bullish confidence. Above that, the next resistance sits at $2,550, followed by $2,620. A decisive move past $2,620 could push ETH toward $2,650. In a stronger scenario, Ethereum may even test $2,720 or $2,780 in the coming sessions.
For now, Ethereum appears to be consolidating between key support and resistance zones. The market remains cautious but not yet bearish.
Technical Indicators Point to Weakening Momentum
Several technical indicators suggest that Ethereum is entering a period of reduced bullish strength. The hourly Relative Strength Index (RSI) has dipped below 50, a sign that buying momentum is cooling.
Meanwhile, the Moving Average Convergence Divergence (MACD) indicator on the hourly chart is also losing steam, signaling a potential shift in momentum.
These signs do not guarantee a downtrend, but they do suggest that ETH may continue to consolidate or pull back in the near term unless strong buying support emerges.
Read more about Ethereum (ETH):
ETH to USD: Convert Ethereum to US Dollar
Ethereum (ETH), Market Cap, Price Today & Chart History
FAQs
Q: Can Ethereum reach $100,000?
A: It might happen after 2030 if the crypto market stays strong. It's unlikely before then, but experts still think Ethereum will go above $10,000 before 2030.
Q: Does Ethereum have a future?
A: Yes, many experts are positive about Ethereum's future. It's important for things like DeFi, smart contracts, and NFTs. Big companies investing in it could also make it more valuable.
Q: What will 1 ETH be worth in 2030?
A: Experts predict that 1 ETH could be worth around $22,000 by 2030.
Q: Is ETH worth buying?
A: Yes, some experts believe it's a good idea to buy ETH. They say Ethereum is still ahead in important areas like the total value locked in its network and the amount of stablecoins used on it.
Disclaimer: The content of this article does not constitute financial or investment advice.
