Strong Bullish Case for ETH Above $4,220 (Ethereum Price Analysis)

Ethereum is presently trapped between sturdy higher-timeframe help and heavy resistance left behind by the current breakdown.

Bulls should defend the $3.9K base to maintain the broader uptrend intact, whereas reclaiming the $4.2K resistance band would offer affirmation for a continuation transfer towards the earlier highs.

By Shayan

The Each day Chart

On the each day timeframe, ETH has pulled again from its current peak right into a vital help confluence, together with the 100-day transferring common and the ascending channel’s decrease boundary round $3.8K. Regardless of the current sell-off, the cryptocurrency stays above the 200-day transferring common, which continues to function a longer-term bullish anchor.

The rejection from the order block close to $4,600–$4,700 has left the market weak to short-term draw back strain. Nonetheless, so long as the worth holds above $3.8K–$3.9K, there stays scope for restoration. A sustained each day shut again above the order block would probably set off renewed bullish momentum.

The 4-Hour Chart

On the 4-hour chart, Ethereum sharply declined into the $3,800–$3,900 demand area, which overlaps with the channel’s decrease boundary, and shortly attracted consumers. This bounce has lifted the worth towards the $4,200 zone, the place short-term resistance is now being examined.

Above this stage, the $4,300–$4,400 vary stands out as the subsequent vital resistance, aligning with the choice level (DP) and key Fibonacci retracements.

A failure to reclaim momentum above $4,200 may power ETH into additional consolidation, and even one other retest of the $3,800 demand block. Conversely, a clear breakout would pave the way in which for ETH to revisit increased resistance zones, in the end focusing on the $4,600–$4,700 order block.

By Shayan

The liquidation heatmap highlights that Ethereum’s current decline triggered an extended squeeze, wiping out a dense cluster of overleveraged positions slightly below $3,900 earlier than rebounding.

Presently, ETH is urgent in opposition to the $4,200 resistance, the place one other dense liquidity cluster has fashioned. This zone represents each a hurdle and a magnet for worth motion. If Ethereum efficiently breaks above this space and clears the liquidity overhead, the subsequent main focus lies above the $4,700 swing highs.

This makes a liquidity sweep of these highs more and more probably, because the market tends to gravitate towards such swimming pools. In brief, whereas consumers should first soak up the availability at $4,200, the bigger liquidity resting above $4,700 suggests Ethereum’s path of least resistance stays tilted upward.