Ethereum Faces Key $2.4K Retest Amid Consolidation After Rally

Ethereum (ETH) has paused its rally after reaching resistance around $2,740, following a significant increase from key levels at $2,000 and $2,200. Analysts indicate that a consolidation phase may occur before further upward movement.

Key support to watch is at $2,400; a retest of this level is seen as necessary for a healthy structure.
High Open Interest in ETH derivatives raises caution, with some analysts avoiding long positions until leverage decreases.
ETH has surged over 50% recently, marking the first sustained strength since late December.
A period of consolidation is expected, with critical ranges identified between $2,100 and $2,800.
Current trading price is around $2,565, below the 200-day SMA at $2,702.93, which has acted as resistance.
Volume has decreased, signaling market indecision post-breakout.
Maintaining support above $2,500 is essential for bullish momentum; failure could lead to deeper pullbacks.
A push above $2,700 with strong volume would indicate renewed strength and potential movement towards the $3,000–$3,100 zone.

The next few days are crucial for Ethereum to confirm its trend and maintain investor confidence.