Ethereum Reaches New ATH, But RSI Divergence Clouds Path To $5,000

Ethereum has once again made headlines by climbing to a fresh all-time high, confirming the strength of its ongoing uptrend. However, despite the bullish price action, warning signs are flashing on the technical front as the Relative Strength Index (RSI) shows a rare ￰0￱ price pushing higher but momentum indicators losing steam, ETH now faces a critical test on its path toward the much-anticipated $5,000 ￰1￱ Breaks Record With Weekly Close Above $4,600 GrayWolf6, in a recent post on X, highlighted that ETH has achieved a significant milestone by closing the weekly candle above $4,600. This level had previously marked the highest weekly close, and as anticipated, ETH went on to set a new all-time high (ATH) last ￰2￱ Reading: Ethereum Price Squeezed In Falling Channel – Bulls Eye Rebound To $4,788 If This Support Holds Currently, ETH is trading within the upper resistance zone of the $3,900–$4,800 ￰3￱ region is historically challenging and could invite selling pressure as traders look to secure profits.

GrayWolf6 noted that his outlook is for ETH to attempt a push beyond the $5,000 ￰4￱ a move would not only confirm strong bullish momentum but also open the door for further upside targets as buyers maintain control of the ￰5￱ added that the $5,100 level is especially critical to watch in the coming days. GrayWolf6 concluded by stating that he will be monitoring developments closely throughout the week and sharing updates ￰6￱ Price Action Likely As Market Tests Momentum Another analyst, Cryptonite, recently shared an update highlighting the mixed signals currently appearing on Ethereum’s ￰7￱ noted that the chart is presenting a rare and somewhat messy pattern, where price has been making higher highs while the RSI has printed lower highs, a classically bearish divergence.

However, the RSI is also showing higher lows, which signals that the downside momentum may not be as strong as it initially appears to ￰8￱ Reading: Ethereum Price Crash: $2 Billion In Losses Is Waiting For Traders At This Level This unusual setup has left ETH in a rather complex ￰9￱ explained that as long as the RSI maintains these higher lows, the long-term outlook remains favorable for the bulls, despite the short-term ￰10￱ makes sense given that ETH is currently trading around its all-time high levels, a zone that naturally attracts both profit-taking and renewed buying interest, leading to unpredictable price ￰11￱ factor worth watching, according to Cryptonite, is trading ￰12￱ ETH recording higher highs in price, volume has been declining, which could be a warning sign of weakening ￰13￱ stronger participation returns, ETH’s next major move may remain uncertain, with volatility likely to dominate in the short ￰14￱ image from iStock, chart from ￰15￱