Ethereum (ETH) Holds the Critical $1,850 Trendline: Is $2.3K the Next Target?

• Ethereum is hovering around the $1.9K range.
• If $1,850 holds, $ETH’s next major target sits around $2.3K.

Ethereum ($ETH) has staged a recovery after holding its long-term ascending trendline, and if broken, it would change the entire narrative. It has bounced and is now pressing toward $2,000, a resistance level that previously acted as support and the first test since the rebound. The largest altcoin is currently trading at $1,923, after a modest 2.61% gain in value.

Moreover, $ETH’s trend has been cleaner than BTC’s throughout this cycle. What remains is a market approaching strong resistance with core support sitting at $1,839. As long as that level holds, the overall bullish structure stays intact. Pullbacks from current resistance are possible, and the retracement range sits between $1,952 and $2K before any continuation higher.

Significantly, upon Ethereum forming a double bottom, the $1,850 support is the level that must hold. On the contrary, as long as the support remains intact, the resistance at the $2,300 zone becomes the next upside target.

Ethereum Accumulation Remains in Focus

Whale 0x4cee woke up after three months of inactivity and dropped $20 million USDC on 10,501 $ETH at $1,905. A newly created wallet pulled 12,800 $ETH valued at $24.47 million off Binance and staked all of it within 24 hours.

Another fresh wallet withdrew 74,033 $ETH worth $136.17 million from Gemini, and staked every single token. In addition, Arthur Hayes added another 1,332.5 $ETH worth $2.53 million.

And perhaps remarkably, an Ethereum ICO participant, 0x45BB, has moved 2,000 $ETH after sitting dormant for 11 years. That $620 ICO investment is now valued at approximately $3.79 million, with a 6,113x return.

$ETH’s Technical Outlook: Holding Up or Slipping Back?

The Moving Average Convergence Divergence (MACD) line is stationed above the signal line. Hence, the short-term momentum is actively gaining traction. As both lines are above the zero line, the overall trend of Ethereum is firmly moving upward.

This setup points to a strong bullish signal in an established uptrend, and the buyers are currently driving the asset’s price higher. It’s a continuation signal for long positions.

$ETH’s daily Relative Strength Index (RSI) reading at 69.88 is experiencing strong upward buying momentum. Also, it is sitting on the edge of overbought territory, at 70. The asset may be due for a brief pause or sideways consolidation.

It’s a warning sign to avoid chasing the price blindly at current levels. Looking for confirmation is advised, like a drop back below 70 or bearish price action, before making a trade.