Ethereum Maintaining a Long-Term Channel is Important: The Next Move Could Be Parabolic

Ethereum is showing signs of new strength, trading over 75% higher than its lowest point in April as buyers attempt to reclaim lost ground. Despite this impressive bounce back, ETH remains about 98% lower than its all-time high, leaving plenty of room for growth if the bullish momentum accelerates. Market sentiment is shifting, with many analysts and investors keeping an eye on Ethereum as the top contender to ignite the long-awaited alt season. Top analyst Ted Pillows recently shared a technical viewpoint indicating that Ethereum has once again tested its lower channel — a pattern that has historically preceded explosive bullish moves in previous market cycles. In both 2017 and 2021, the same setup led to significant gains, and some believe this cycle may not be any different. With macro conditions still uncertain but risk appetite increasing across cryptocurrency markets, Ethereum's price action is being closely monitored. If this pattern holds, ETH could be on the verge of a strong breakout, pulling the broader altcoin market along with it. Whether this will become a historic launch pad or another consolidation phase remains to be seen, but for now, Ethereum is clearly the center of attention. Ethereum holds strong at a key support level as historical patterns signal bullish potential. Ethereum is trading at an important technical level after reclaiming the $2,400 mark, where buyers and sellers are caught in a tug-of-war. Buyers have tried to defend the key support zone, but the bullish momentum remains weak as overall market sentiment is still cautious. Geopolitical tensions and tightening macroeconomic conditions continue to shape risk appetite, causing many investors to hesitate and not want to fully commit to high-beta assets like Ethereum. However, the long-term setup is attracting the attention of seasoned analysts. Pillows indicates a repeating historical pattern that could determine the trajectory of Ethereum in the coming months. According to his analysis, ETH has tested its lower trend channel once in each major market cycle, and each time the retest occurred before extraordinary bullish runs. In 2017, Ethereum increased 300 times from this setup. In 2021, it yielded a 50 times profit. If history even partially repeats, a conservative 6 times move would take ETH above the $10,000 mark.

This setup is technically sound and aligns with the general sentiment that Ethereum could lead the next altcoin bullish run, especially if Bitcoin breaks into price discovery. While uncertainty remains, ETH's current position is a key area. If buyers attempt to maintain the structure and push towards higher levels within the range, the conditions for a breakout could soon align. ETH holds at 2,400 dollars but faces resistance Ethereum is consolidating around the $2,422 level after reclaiming the $2,400 support zone, but the chart shows that buyers are facing significant resistance just above the current level. On the 12-hour timeframe, ETH has struggled to surpass the 50 and 100-period simple moving averages, currently at $2,518 and $2,536. This resistance group has limited any recent attempts to push higher, reinforcing it as a short-term barrier that buyers must overcome to regain momentum.

The unsuccessful collapse of ETH below $2,200 earlier this week now looks like a bear trap, as buyers have entered strongly to reclaim lost ground. However, without a decisive break above $2,530, Ethereum remains vulnerable to a retest of the support zone of $2,300–$2,200. The 200-day SMA near $2,160 remains an important support level to watch — if the price cannot hold above this level in future dips, the bears may regain control. Currently, Ethereum seems to be range-bound, stuck between macroeconomic instability and bullish hopes for an alt season. A breakout above $2,550 will confirm new strength and open the door for a bullish rally to $2,800.