Ethereum surges toward $2,500 as breakout pressure builds fast

Ethereum (ETH) has seen a strong surge over the past week, pushing its price to around $2,330.

The cryptocurrency has gained significant momentum, rising more than 14% in just seven days.

The uptrend shows signs of continuation, with price action forming higher lows and breaking above the 100-hour simple moving average.

Bulls are in control but must overcome the $2,380–$2,400 resistance to extend gains.

A decisive move above this level could open the door for a push toward $2,500 and even higher.

At the same time, CME futures gaps suggest that sudden retracements are possible.

Therefore, traders should remain vigilant, balancing the potential upside with the risk of short-term swings.

The short-term Ethereum price target

From a technical analysis standpoint, technical indicators suggest that Ethereum’s momentum remains solid.

The hourly Relative Strength Index (RSI) is above 50, indicating strength in the short-term trend, while the Moving Average Convergence Divergence (MACD) is signaling bullish momentum, supporting the case for a potential breakout.

In the short-term, Ethereum faces immediate resistance between $2,380 and $2,400.

This zone has acted as strong resistance, and corresponds with the 38.2% Fibbonnacci retracement level after the cryptocurrency plunged from its January highs to a low of around $1,758 in February.

If bulls can maintain momentum and clear this resistance, the next targets are likely to be $2,500, $3,046, and possibly $3,396.

However, traders should be mindful that even within an uptrend, the price often tests lower zones before resuming its rally.

On the downside, support has formed near $2,320, with stronger levels at $2,260 and $2,150.

A failure to hold above these levels could trigger a short-term pullback.

CME futures gaps signal short-term volatility

Ethereum’s rally reflects renewed investor confidence and the broader strength of the crypto market.

Despite the positive momentum, Ethereum’s path toward $2,500 may not be smooth.

Recent CME futures gaps could create temporary pullbacks as the market attempts to fill these voids.

Data analysts CW on March 17 highlighted a new CME gap that formed at $2117 after ETH filled the first CME gap a day before.

These gaps often act as magnets, attracting price toward them, which can lead to short-term volatility.

A gap fill could trigger liquidations of leveraged long positions, causing abrupt downward moves even in the context of a bullish trend.

Therefore, traders should exercise caution and monitor the key support zones closely.

The current market structure suggests that if Ethereum holds above $2,320 and clears $2,380, the rally could gain renewed strength.

Conversely, a drop below $2,260 could bring the CME gap into play, increasing the likelihood of short-term corrections.

The post Ethereum surges toward $2,500 as breakout pressure builds fast appeared first on Invezz