Ethereum Price Analysis: Is $5K Inevitable as ETH Finally Breaks Out?

Ethereum has finally shaken off weeks of sideways movement, launching into a strong ￰0￱ asset now sits at a decisive resistance band that will determine whether this breakout extends into a larger trend continuation or fades into another ￰1￱ Analysis By Shayan The Daily Chart On the daily chart, Ethereum continues to respect its broad ascending channel, with the latest surge carrying price directly into the $4.7K–$4.8K supply ￰2￱ region has acted as a ceiling before, and its overlap with the upper channel boundary amplifies its importance. A confirmed daily close above this barrier would significantly increase the probability of a retest of the $5K threshold.

However, rejection here could trigger a cooling phase back toward the mid-channel zone around $4.4K–$4.2K, an area reinforced by trendline structure and key support for bulls to ￰3￱ 4-Hour Chart On the 4-hour chart, Ethereum broke out of its wedge formation with an impulsive rally, driving straight into the $4.7K resistance ￰4￱ momentum remains with buyers, the current stall highlights the presence of short-term ￰5￱ here, Ethereum faces a clear crossroads. A decisive breakout above $4.8K could extend this leg higher toward $5K, while failure to absorb supply at this level would likely lead to a pullback toward $4.4K, where demand will be tested to validate the ￰6￱ Analysis By Shayan Ethereum’s latest upswing was fueled by a sharp short squeeze, as clustered leveraged shorts were liquidated once the price broke above local ￰7￱ liquidation cascade created rapid upward momentum, flushing out sellers and clearing liquidity from the upside.

However, the squeeze also left behind a dense liquidity pocket in the $4.5K–$4.4K range, just beneath recent ￰8￱ zone now becomes critical to ￰9￱ Ethereum stalls at the current resistance cluster, price could gravitate back to this liquidity pool to rebalance and test underlying ￰10￱ short, Ethereum’s breakout unfolded precisely as anticipated: short pressure unwound into a powerful push higher, but the sustainability of this move now hinges on buyers’ ability to defend reclaimed ￰11￱ next sessions will decide whether Ethereum consolidates strength for a fresh ATH attempt or retraces to absorb fresh liquidity.