Ethereum’s Rollercoaster: Will It Soar to $4.5K or Take a Nap? 🎢💰

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In the grand theater of the financial world, Ethereum, that spirited child of the blockchain, has gallantly maintained its bullish momentum, breaking through the formidable barriers that once held it captive, and reclaiming the illustrious $4K mark-a psychological milestone akin to a peasant finally finding a gold coin in the dirt.

Yet, as with all things in life, a moment of respite seems inevitable. The winds of fortune may cool, but the overarching trend still whispers sweet promises of further ascension, as if the universe itself conspired to lift Ethereum higher.

ETH Price Analysis: Technicals

By Shayan

The Daily Chart

In a dramatic sweep reminiscent of a nobleman’s extravagant ball, Ethereum danced beneath the $3.5K threshold, attracting a throng of eager buyers, igniting a rally that sent the price soaring above the $4K threshold. This level, both a psychological beacon and a previous swing high, stands as a testament to the market’s insatiable appetite.

However, as the price now firmly resides above this hallowed ground, one cannot help but ponder the possibility of a short-term pullback-a necessary pause, much like a weary traveler resting before the next leg of their journey toward the next great resistance at $4.5K.

The 4-Hour Chart

Upon closer inspection, one finds that Ethereum has sliced through multiple resistance levels with the fervor of a passionate lover, reflecting an undeniable surge in buying momentum.

Yet, the current position suggests that the market may be on the brink of a corrective phase, a moment to absorb fresh demand before resuming its noble ascent.

The Fibonacci retracement zone, nestled between the 0.5 and 0.618 levels, aligns harmoniously with Ethereum’s established multi-month uptrend, representing a probable sanctuary should a pullback occur. Should this region hold firm, it would bolster the case for yet another leg higher, potentially catapulting the price into the realms of the unknown, toward a new all-time high.

Onchain Analysis

By Shayan

The ETH Liquidation Heatmap reveals a relatively unobstructed path toward Ethereum’s all-time high, devoid of major liquidity clusters that might hinder its advance-much like a clear sky on a summer’s day.

However, lurking near the $3.6K level is a significant pocket of liquidity, a veritable treasure trove reflecting the liquidation points of long positions amassed during the recent rally. This area, dense with leveraged futures exposure, stands as an enticing target for market makers and large players, eager to trigger liquidity events with the finesse of a cat playing with a mouse.

In light of this setup, a retracement toward the $3.6K zone remains a plausible scenario, potentially flushing out these positions before the market resumes its upward march. Traders, like vigilant hawks, should keep a keen eye on this level, for liquidity hunts in such areas often lead to sharp, swift price movements and a delightful increase in volatility once the zone is engaged.

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2025-08-10 18:32