Ethereum Price Analysis: Has ETH’s Rally to $5K Hit a Dead End?

Ethereum continues to show strength, but the price action has reached a critical stage where both bullish and bearish signals are ￰0￱ are still defending demand zones effectively, yet momentum indicators suggest exhaustion that traders should not ￰1￱ Analysis By Shayan The Daily Chart On the daily timeframe, Ethereum remains inside an ascending wedge pattern, a formation that often signals trend ￰2￱ asset has edged above the midline of its ascending channel, highlighting that bulls still retain control. However, the RSI has developed a bearish divergence, with higher highs in price failing to match momentum, a warning sign that a pullback could be ￰3￱ Ethereum fails to close decisively above the $4,700–$4,800 resistance band, selling pressure may intensify, potentially dragging it back toward the channel’s mid or lower ￰4￱ 4-Hour Chart On the 4-hour chart, Ethereum recently confirmed a Break of Structure (BOS), suggesting an early shift in trend ￰5￱ then retraced into a demand zone, where buyers responded aggressively, reaffirming it as a strong decision ￰6￱ then, ETH has been consolidating between the major swing high near $4,800 and the recent swing low at demand, with order flow tilting toward ￰7￱ resistance at $4,800 is cleared, a new bullish leg could take shape, but failure to hold demand risks another downside ￰8￱ Analysis By Shayan Ethereum is consolidating just below its all-time high near $5K, leaving participants uncertain about whether a breakout or a deeper retracement lies ￰9￱ key metric is the Taker Buy-Sell Ratio, which measures the balance of aggressive market ￰10￱ 30-day moving average of this ratio has been trending lower, signalling an increase in aggressive selling ￰11￱ suggests profit-taking and distribution are weighing on Ethereum as it struggles at ￰12￱ weakness in this metric could pave the way for a deeper correction, with $4K emerging as a critical support level.

However, if the selling is primarily from short-term traders or weak hands, it could represent nothing more than a healthy consolidation phase, ultimately preparing the market for a renewed push ￰13￱ short, Ethereum’s next decisive move depends on whether bearish pressure escalates from here or if underlying demand absorbs the supply, setting the stage for a breakout beyond ATH.