Ethereum Surges 45% as It Reclaims Key Price Levels
Ethereum Surge Overview
- Ethereum (ETH) surged 45% last week, breaking critical price levels.
- This movement raises speculation about a potential altseason.
- ETH's recent momentum shifted investor focus back to the altcoin market.
- Analyst Daan highlighted this surge as significant, driven by technical breakouts and short squeezes.
Market Context
- Prior to this rally, ETH had been down over 66% since late December 2024.
- The recent rise marked an 85% increase over a few weeks, reaching resistance levels vital for further uptrend possibilities.
- Daan noted that this was one of the largest weekly candles in years, indicating strong bullish sentiment.
Technical Indicators
- ETH broke above the 200-week EMA and SMA for the first time since its downtrend began earlier this year.
- This week's close near $2,555 indicates a potential shift in market sentiment.
- Volume during the breakout shows increased participation, suggesting a possible recovery trend rather than just a short squeeze.
- Resistance remains at the $2,700–$2,800 range; reclaiming this could lead to sustained rallies into Q3.
Future performance will be crucial in determining whether the current rally signals the start of a new altseason or is merely a reaction to previous bearish positioning.