Ethereum is trading in a constructive but still corrective phase. The price is holding above the main higher-timeframe demand zones while encountering persistent supply under the declining daily moving averages.
The broader structure suggests that the aggressive selloff from the highs has transitioned into a basing and mean-reversion phase rather than a completed bullish reversal. On-chain activity points to gradually improving participation rather than euphoric risk-taking.
Ethereum Price Analysis: The Daily Chart
On the daily timeframe, ETH continues to oscillate around the declining 100-day moving average and remains below the 200-day moving average, indicating a corrective regime. The asset has repeatedly respected the $2,700 region as the primary demand zone, with a deeper structural floor around the $2,100–$2,300 range. The market is now pressing into the $3,500 resistance band that previously acted as a distribution zone.
As long as the $2,700 support area holds on a closing basis, the medium-term structure can be interpreted as a large consolidation within a longer-term bullish trend. However, the absence of a decisive reclaim of the daily 100-day and 200-day moving averages and the overhead supply zone reinforces the view that this is still a recovery leg inside a wider range rather than the start of an impulsive trend expansion.
ETH/USDT 4-Hour Chart
The 4-hour chart shows a clear sequence of higher lows since the December drop, forming a rounded accumulation pattern with the most recent swing low anchored in the $3,000 area. The price has been rotating between this support level and the resistance zone in the $3,300–$3,400 range. Sellers once again capped the latest advance in this zone, triggering a pullback in the past 24 hours.
As long as the market respects the curved higher-low structure and holds above the $3,000 region, the short-term configuration continues to favour another attempt at the $3,300–$3,400 supply cluster. Meanwhile, a sustained break below the $3,000 level would signal that the corrective leg is extending and reopen the path toward the critical $2,800 support zone.
On-Chain Analysis
On-chain metrics show that the total Ethereum transaction count and its 30-day EMA are trending higher, now exceeding 2 million. This is occurring even though the price remains below the previous cycle peak.
This divergence between rising transactional activity and a still-recovering price profile is consistent with a backdrop of rebuilding fundamental demand. Network usage is increasing while the price has not yet fully reflected this improvement. This configuration is often associated with early or mid-stage phases of a new growth leg.
At the same time, elevated transaction counts near resistance can coincide with periods of heightened rotation and short-term profit-taking. Therefore, confirmation in the form of a sustained reclaim above the $3,400 resistance band would be required before this on-chain strength can be treated as validation of a fully re-established bullish trend.
