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Ethereum has shown resilience in the ongoing market-wide crypto rally, keeping pace with Bitcoin and other leading digital assets. Over the past two weeks, ETH has appreciated by around 40%, peaking above $2,600 on May 13.
While the asset has since experienced a pullback, it continues to hold above a critical support level, trading at $2,483 at the time of writing, representing a 0.6% increase in the last 24 hours.
The upward momentum has drawn commentary from technical analysts and on-chain researchers, many of whom see continued potential in Ethereum’s market structure. On the social platform X, multiple analysts pointed to bullish chart formations and market signals that could influence Ethereum’s short- to mid-term price direction.
The broader sentiment reflects cautious optimism, with most eyes on Ethereum’s behavior near the $2,500 resistance level and its correlation to Bitcoin dominance.
Golden Cross Reappears, Analysts Weigh in on Ethereum’s Trajectory
One widely cited technical development is the emergence of a golden cross pattern on Ethereum’s chart, noted by analyst Merlijn The Trader. A golden cross occurs when the 50-day moving average crosses above the 200-day moving average, a formation often interpreted by market participants as a bullish indicator of long-term momentum.
Merlijn highlighted that the last time this pattern occurred, ETH rallied significantly, adding that a potential move to $3,000 remains plausible if historical patterns repeat.
The last Golden Cross sent $ETH flying.
Now it’s flashing the same setup again.
Ethereum to $3,000 is on the table.
Ignore it at your own risk. pic.twitter.com/mHsrveBQiJ
— Merlijn The Trader (@MerlijnTrader) May 20, 2025
Another analyst, known as Crypto Elites, focused on Ethereum’s positioning against Bitcoin dominance. According to their post, Ethereum/USDT has bounced from multi-year support levels established in 2021, 2022, and now again in 2025.
This technical rebound could signal an incoming phase where altcoins, led by Ethereum, begin outperforming Bitcoin in relative strength. The implication is that investors may rotate capital into Ethereum and other large-cap altcoins if Bitcoin’s momentum continues to stall around its current highs.
Exchange Data Suggests Short-Term Cooldown Before Further Upside
On the on-chain side, CryptoQuant analyst ShayanMarkets pointed out signs of short-term market overheating. Citing exchange trading volume data, Shayan described how ETH’s approach to the $2,500 resistance level triggered a surge in trading activity across platforms.
This increase, reflected in what is termed a “bubble chart,” categorizes market conditions based on the intensity and acceleration of trading volume. According to Shayan, Ethereum has now entered the “Overheating” zone, where elevated activity often precedes short-term corrections due to profit-taking and resistance at key psychological price levels.
Despite the near-term risks, the analyst emphasized that such periods typically lead to consolidation and renewed accumulation. As Ethereum cools from its recent highs, the market may stabilize before another breakout attempt.
Featured image created with DALL-E, Chart on TradingView
