Ethereum is flashing fresh strength after bouncing sharply from $2,400 on May 17 to an intraday high of $2,551 on May 18—a 4.5% recovery within 24 hours. The move caught bearish traders off guard, liquidating $22 million in short positions, including $7.5 million in a single hour, and sparked renewed optimism across the market.
At the time of writing, ETH trades near $2,500, up more than 2.5% on the day. The rally has reignited hopes that Ethereum could reclaim the $3,000 level in the coming weeks, backed by favorable technicals and strengthening on-chain demand.
Still, overhead resistance remains heavy. Data from CoinGlass shows more than $384 million in sell orders stacked between current price levels and $3,000—posing a near-term ceiling for further upside.
Meanwhile, more than $158 million in leveraged positions were liquidated market-wide over the same 24-hour window, with long traders bearing the brunt of the fallout. The liquidations underscore the volatile backdrop—but also highlight how quickly bullish sentiment can reemerge as ETH regains key technical levels.
With increased network activity, a major upgrade on the horizon, and renewed appetite across altcoins, many analysts see Ethereum’s push toward $3,000 as more than just a bounce—but possibly a launchpad to higher valuations.
Analysts Split as ETH Finds Footing Above $2,500
While Ethereum’s recent bounce above $2,500 has sparked optimism, analysts remain divided on where ETH may head next.
Titan of Crypto, a pseudonymous trader, pointed to a still-elevated Stochastic RSI reading near 79, suggesting more room for upside. “ETH still has more gas in the tank,” the analyst said, pointing to bullish momentum holding firm if buyers stay active.
Another trader, Chimp of the North, noted $2,400 as a “clean support level” that could serve as the base for a run toward $3,000 to $3,300—provided sentiment holds and volume improves.
Not everyone is as bullish. Analyst Crypto Patel warned that the correction may not be over, predicting that ETH could revisit the $1,800 to $2,000 zone—what he calls a high-probability “reentry region.” From there, Patel believes Ethereum could mount a rally toward $4,000 to $5,000, driven by macro catalysts and structural market support.
Among those catalysts: rising institutional interest, increased anticipation for a spot Ethereum ETF, and Ethereum’s Pectra upgrade, expected to boost network efficiency and investor confidence.
For now, Ethereum’s near-term path may depend on whether bulls can defend the next key support zones—or whether the market dips one final time before building a foundation for a larger move.
Bull Flag Holds, but Support at $2,470 Faces Crucial Test
Ethereum continues to respect a bull flag formation on the four-hour chart—a pattern that typically signals trend continuation following a strong breakout. The setup remains valid as long as ETH closes above $2,470, the upper boundary of the flag’s breakout zone.
ETH initially confirmed the breakout on May 13, clearing $2,550 and pulling back to retest the same level. A successful retest followed by a daily close above this zone could signal continuation to the upside, with $3,720 identified as a medium-term target.
But momentum signals are flashing caution. The Relative Strength Index (RSI) has slipped from 60 to 42 in the past 24 hours, indicating cooling sentiment and the possibility of a deeper pullback if bulls don’t step in quickly.
A close below $2,470 would likely open the door to $2,400 and $2,300, key levels to watch inside the flag’s lower boundary.
As Ethereum consolidates, the $2,470–$2,550 range is shaping up as the battleground between a confirmed trend continuation—or a lengthier correction before the next leg higher.
Quick Facts
- Ethereum rebounded 4.5% in 24 hours, rising from $2,400 to $2,551 on May 18.
- Over $22M in short positions were liquidated, adding bullish fuel to the move.
- Analysts eye $2,470 as critical support for continuation toward $3,700+.
- Resistance near $3,000 remains strong, with $384M in sell orders on-chain.
