ETH Moves Back Toward Its Main Resistance
Ethereum is pressing back toward the $2,400 resistance zone, keeping the market locked inside the same technical fight that has defined its recovery since February.
ETH recently traded near $2,388, according to CoinMarketCap, putting the asset close to the level that has capped several breakout attempts. Ethereum is no longer simply drifting below resistance. It is testing the upper edge of the range again, with buyers needing a clean close above $2.4K to shift momentum.
The daily structure still leans constructive but unfinished. ETH has held above the rising recovery channel that started from the February low, and the 100-day moving average near the low-$2,200 area remains an important support reference. The relative strength index remains in neutral-to-positive territory, suggesting that momentum has improved but has not yet reached the level of conviction normally associated with a major trend reversal.
A confirmed daily close above $2.4K would change the structure. It would break the horizontal supply zone that has repeatedly rejected ETH and open a cleaner path toward the 200-day moving average and the $2.7K to $2.8K resistance region. Another rejection, however, would return focus to the $2.2K area. Losing that level would weaken the recovery channel and bring the $2K to $1.8K demand zone back into view.
Short-Term Chart Still Needs A Clean Break
The four-hour chart keeps the same message in sharper form. ETH has been compressing below resistance, with recent pullbacks forming a tightening structure rather than a full breakdown. The $2.4K zone remains the immediate ceiling because every recent attempt to clear it has failed to attract enough follow-through.
A close above that level would strengthen the bullish case and could send price toward the upper boundary of the larger recovery channel near $2.5K before the market tests higher resistance. A rejection from the same area would be less damaging if ETH holds above $2.2K, but a drop below that support would invalidate the short-term wedge-style compression and expose the lower trendline.
Recent Ethereum price analysis has already framed $2.4K as the level separating a meaningful breakout from another painful rejection. That framing still holds, but the latest price action has made the test more immediate.
Exchange Reserves Add A Bullish Supply Signal
The more constructive part of Ethereum’s setup sits below the surface. Exchange reserves have continued falling, with the supplied analysis placing reserves near 14.5 million ETH, the lowest level in the dataset. At the recent peak, exchanges held more than 21 million ETH, and more than 1.5 million ETH has reportedly left exchanges over the past four months.
That matters because lower exchange balances reduce the liquid sell-side supply available during a breakout attempt. It does not guarantee that ETH will clear $2.4K, since buyers still need to show stronger spot demand. It does mean that if demand arrives, the market may face a thinner supply wall than it did earlier in the cycle.
The same supply story has appeared in recent Ethereum market coverage, where persistent exchange outflows and multi-year-low reserve levels pointed to shrinking liquid ETH supply even as price struggled to confirm a breakout.
Ethereum’s next move now depends on whether that supply compression finally meets enough demand. A clean push above $2.4K would validate the accumulation story and put the $2.7K to $2.8K area back on the chart. A failed breakout would leave ETH stuck in the same range, with thinner exchange reserves still bullish in the background but not yet strong enough to carry price alone.
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