Ethereum ($ETH) recently tested the $4,500 level but faced strong rejection. This indicates that this level remains a critical area in the current market structure.
Current Market Situation
Ethereum was unable to exceed $4,500, signaling a key resistance point. Despite bullish sentiment in the market, the price could not break higher.
The rejection has resulted in a halt in upward momentum, leading to short-term consolidation. Traders are closely monitoring whether Ethereum can gather enough strength for another attempt to breach this level.
Conditions Needed for a Breakout
For Ethereum to successfully break past resistance levels, a combination of higher trading volume, increased investor confidence, and favorable macroeconomic conditions may be necessary. Currently, on-chain data shows a slight dip in active addresses and transaction volume, indicating a cooling-off period.
Analysts remain optimistic, believing that if Ethereum can find support around $4,200 or above, this could prompt another move toward $4,500.
Market Expectations and Next Steps
Cryptocurrency markets often move in waves, and a rejection does not necessarily indicate negative prospects for Ethereum in the short term. Corrections and re-tests are common in upward trends.
If ETH can hold above critical support levels and gather momentum—potentially fueled by positive news or increased buying pressure—it might take another shot at breaking through $4,500.
With the current conditions, traders should closely watch the market and the changes in trading volumes. Recovery of activity and support at key levels may lead to another attempt to break resistance.
