Ethereum price faces pivotal test at key resistance zone

Ethereum’s recent bounce off local lows has brought it back into a heavily contested resistance zone. With market structure compromised, reclaiming $2,600 is now critical for the bulls to stay in control. After establishing a local bottom at $2,111, Ethereum ( ETH ) staged a sharp rebound. However, this move appears to be more of a short squeeze than a genuine trend reversal. Price has now rallied into a key resistance zone at $2,600, an area packed with technical confluence and historical relevance. For ETH to regain upward momentum, it must close above this level with conviction. Key technical points $2,600 Resistance Zone: A critical former support level now acting as resistance. Confluence Cluster: Point of Control (POC), VWAP, and 0.618 Fibonacci retracement converge at $2,600. Market Structure Break: Recent drop invalidated higher high/higher low sequence on daily timeframe. ETHUSDT (1D) Chart, Source: TradingView Ethereum’s price is currently trading beneath one of its most important resistance zones in recent memory. The $2,600 level previously acted as strong support but has now flipped into resistance following the breakdown. The technical significance of this zone is further amplified by the confluence of several indicators—the point of control, volume-weighted average price, and the 0.618 Fibonacci retracement from the previous swing high all cluster around $2,600. This makes it an area unlikely to be reclaimed without strong volume and bullish intent. You might also like: Bluebird Mining secures Bitcoin funding as Philippine gold deal nears completion Further pressuring the bullish outlook is the break in market structure. The prior daily trend of higher highs and higher lows was clearly invalidated during the recent drop to $2,111. That means the burden of proof now lies with the bulls. A reclaim of $2,600 would be the first step toward re-establishing bullish momentum. Without it, this current rally is best interpreted as a bearish retest. If Ethereum fails to reclaim the $2,600 level, a pullback becomes highly probable. The next immediate support sits around $2,227, which may offer a temporary reaction. However, a breakdown below this zone could send price much lower toward $1,790, a critical demand zone and previous base of support. This level would likely serve as a make-or-break support for a broader correction. What to expect in the coming price action Ethereum’s price is at a major inflection point. A confirmed breakout above $2,600 could reignite bullish structure and open the door to higher levels like $2,800. Failure to break through, however, sets the stage for a rejection-driven pullback toward $2,227, with $1,790 on the table if that support fails. Until $2,600 is reclaimed, short-term trend bias remains tilted to the downside. Read more: Pudgy Penguins pops at NASDAQ with VanEck as market watches for PENGU price breakout

Source: crypto.news