Ethereum is demonstrating notable resilience, recently trading at approximately $4,670, moving closer to the center of its upward channel. The market reflects a stable recovery post-September; however, indications of temporary exhaustion are surfacing, hinting at a possible short-term retreat prior to another ascent.

Technical Analysis

Daily Chart

On the daily chart, ETH is well within its rising channel structure, buoyed by the 100-day moving average around $3,900 and the 200-day at $3,000. The price approaches the $4,800 resistance, a significant barrier that has consistently capped attempts at rallying over recent months.

The RSI has climbed to 62, suggesting robust momentum, yet it hasn’t reached the overhead territory. A successful breakout above $4,800 could pave the way for testing the psychological threshold of $5,000 and potentially beyond; conversely, a failure to maintain current levels might trigger a revisit to the lower boundary of the upward channel, possibly leading to a critical test at the $4,000 demand zone, essential for retaining bullish market conditions.

Source: TradingView

4-Hour Chart

The analysis from the 4-hour timeframe exhibits early signs of bearish divergence between price and RSI, signaling diminishing momentum as ETH confronts the crucial $4,700–$4,800 resistance range. Meanwhile, a small bullish Fair Value Gap (FVG) has emerged around $4,600, potentially attracting short-term pullbacks and supporting further advancement.

Source: TradingView

If buyers protect this gap and regain control, the next upward target remains at $4,800. Failure in this zone might lead to a deeper retracement towards $4,200, where strong buying interest and the neckline of a recent inverted head and shoulders pattern exist.

Onchain Analysis

Despite Ethereum’s price witnessing robust recovery and appearing poised for further upward momentum, on-chain activity paints a somewhat contrasting picture. Recent trends show a slight decline in active addresses, even as the price rises. This suggests a short-term disconnect between network activity and market performance.

For the current trend to remain viable, it’s crucial for active addresses to increase alongside price—a sign of genuine network engagement and user demand. A persistent decrease in network activity could indicate faltering fundamentals, complicating ETH’s ability to maintain upward movement above the $4,700–$4,800 resistance range.

Source: TradingView