Ethereum is currently trapped between strong higher-timeframe support and heavy resistance left behind by the recent breakdown. Bulls must defend the $3.9K base to keep the broader uptrend intact, while reclaiming the $4.2K resistance band would provide confirmation for a continuation move toward the previous highs. Technical Analysis By Shayan The Daily Chart On the daily timeframe, ETH has pulled back from its recent peak into a critical support confluence, including the 100-day moving average and the ascending channel’s lower boundary around $3.8K. Despite the recent sell-off, the cryptocurrency remains above the 200-day moving average, which continues to serve as a longer-term bullish anchor. The rejection from the order block near $4,600–$4,700 has left the market vulnerable to short-term downside pressure. However, as long as the price holds above $3.8K–$3.9K, there remains scope for recovery. A sustained daily close back above the order block would likely trigger renewed bullish momentum. Source: TradingView The 4-Hour Chart On the 4-hour chart, Ethereum sharply declined into the $3,800–$3,900 demand region, which overlaps with the channel’s lower boundary, and quickly attracted buyers. This bounce has lifted the price toward the $4,200 zone, where short-term resistance is now being tested. Above this level, the $4,300–$4,400 range stands out as the next critical resistance, aligning with the decision point (DP) and key Fibonacci retracements. A failure to reclaim momentum above $4,200 could force ETH into further consolidation, or even another retest of the $3,800 demand block. Conversely, a clean breakout would pave the way for ETH to revisit higher resistance zones, ultimately targeting the $4,600–$4,700 order block. Source: TradingView Sentiment Analysis By Shayan The liquidation heatmap highlights that Ethereum’s recent decline triggered a long squeeze, wiping out a dense cluster of overleveraged positions just below $3,900 before rebounding. Currently, ETH is pressing against the $4,200 resistance, where another dense liquidity cluster has formed. This zone represents both a hurdle and a magnet for price action. If Ethereum successfully breaks above this area and clears the liquidity overhead, the next major concentration lies above the $4,700 swing highs. This makes a liquidity sweep of those highs increasingly likely, as the market tends to gravitate toward such pools. In short, while buyers must first absorb the supply at $4,200, the larger liquidity resting above $4,700 suggests Ethereum’s path of least resistance remains tilted upward. Source: Coinglass The post Strong Bullish Case for ETH Above $4,220 (Ethereum Price Analysis) appeared first on CryptoPotato .
