- Ethereum shows bullish signs with a wedge breakout and rising volume, but key resistance near $2,583 could trigger a reversal.
- MACD turning green may trap early buyers as ETH faces declining momentum and possible overbought conditions around $2,600.
- Analysts see ETH ranging between $1,500 and $2,500 in 2025 unless it breaks and holds above the crucial $3,000 mark.
Ethereum (ETH) is edging toward $3,000. On July 4, 2025, ETH trades at $2,553.18, showing resilience amid market turbulence. Several technical indicators suggest a breakout is forming. However, others warn of a potential bull trap near key resistance zones.
The daily chart shows a wedge breakout. ETH has breached a descending resistance trendline, signaling fresh buying pressure from institutional and retail investors. Besides, the breakout comes with rising volume. The 200-day moving average acts as strong support around current levels. Additionally, accumulation patterns suggest long-term buyers may be stepping in. Hence, a push toward the $2,900–$3,000 zone looks possible in the near term.
Source: Clifton Fx
MACD Flash and Bull Trap Signals
However, not all indicators support a bullish thesis. Analysts point to a potential bull trap as ETH nears $2,583.40. This level acts as a historical resistance zone. Additionally, the MACD has just turned green, which could attract premature bullish entries. Consequently, price action may reverse if volume fades or buyers lose strength. Moreover, RSI levels indicate near-overbought conditions.
Besides that, technical divergence and declining momentum could signal a false breakout. The pattern resembles previous traps that wrecked both bulls and bears. Support around $2,400 offers some relief, but failure to hold it could shift momentum downward.
Source: Merlijn The Trader
Range Outlook and Risk Factors
Furthermore, market analysts forecast ETH to trade within a $1,500–$2,500 range throughout 2025. This outlook limits the upside unless Ethereum can reclaim and maintain the $3,000 level. Additionally, crypto sentiment such as Bitcoin’s next move, will influence ETH’s direction.
