Ethereum is now testing critical resistance after a sharp rally that has attracted the attention of both analysts and traders. A few days after a strong upward momentum, ETH recovered the $1,800 mark, recovering more than 18% of its value since Tuesday. This impressive rebound signal has renewed trust in assets amid continuing global macroeconomic uncertainty and volatility in financial markets.
According to top analyst Gert Van Lagen, Ethereum could be on the crisis of a historic breakout. In a recent technical analysis shared on X, Van Lagen pointed to a large four-year reverse head and shoulder pattern formed on Ethereum’s one-week chart. This is a classic bull inverted signal. Now, with both shoulders confirmed, chart formation targets long-term price targets at the $20,000 level.
This development is as Ethereum continues to strengthen its on-chain foundations and attracts investors’ attention. Resistance levels remain difficult, but breakout, coupled with a long-term setup of over $1,800, positions Ethereum as one of the most promising assets in the current cryptocurrency landscape. If market sentiment continues to change in favour of crypto assets, ETH could enter a strong expansion phase, ranging from over $2,000.
Ethereum prepares for meetings that form long-term inversion patterns
Ethereum is currently 57% below its multi-year high of $4,100. Many investors feel they are recovering completely. However, despite rising macroeconomic tensions and the deeper trade war between the US and China, growth in optimism has emerged throughout the market as crypto assets begin to regain momentum. With stocks under pressure, Ethereum and other major cryptocurrencies appear to be carving out their independent trajectory. Analysts see it as a strong bullish sign.
According to top analyst Van Lagen, Ethereum could be on the crisis of a major breakout. In his recent technical analysis, Van Lagen highlights the large four-year reverse head and shoulder pattern that develops on the ETH weekly chart. The formation of this classical inversion suggests that long-term bullish structures play. If confirmed, Van Lagen believes that this pattern could send ETH to an ambitious $20,000 target in the next market cycle.
One key element of Van Lagen’s analysis is the recent retailer shakeout. He points to the formation of the right shoulder as an instant of surrender, suggesting that many short-term holders have finished their positions and cleared the path for stronger, more sustained movements.
ETH Price Test supports post-key reclining support
Ethereum is currently trading for $1,740 after successfully collecting both the 200 MA and the EMA for four hours. This is an important technical indicator currently being tested for short-term support. This recall is a positive signal for the bull, suggesting that momentum has been built after the recent strong bouncing from low. However, the next important step is to outweigh the psychological and technical barriers by $2,000.
A decisive break over $2,000 and daily closings could see trend reversals and open the door for a stronger recovery rally. This level has served as a resistance multiple times over the past few months, making it an important benchmark for traders. The Bulls need to defend the $1,740 zone to maintain their current structure and build a case for continuous upward movement.
On the back, if Ethereum fails to regain $2,000 and loses its $1,700 support zone, further downside pressure could push ETH back into the territory of consolidation. Such moves can signal reluctance in the market and delay meaningful breakouts in the short term. For now, it is essential to maintain a regenerated moving average as Ethereum tries to solidify its base for the next move.
Dall-E special images, TradingView chart
