
TLDR:
Ethereum hits $3K, up 17% in a week, but faces major resistance.
RSI divergence flags weakening momentum despite bullish price action.
Key support zones lie between $2,700 and $2,450 if rejection occurs.
Break above $3K with volume could open path toward $3,500–$4,000.
Ethereum has briefly surged past the $3,000 mark today, showing strong momentum in the crypto market’s latest recovery phase.Â
This milestone reflects an 8% gain in the last 24 hours and nearly 17% growth over the past week. However, analysts are divided on what comes next as Ethereum faces a key resistance zone.Â
Technical indicators suggest slowing momentum, raising questions about the strength of the rally. While price action is bullish, underlying signals point to a possible short-term rejection.
Ethereum Resistance at $3,000 Raises Pullback Concerns
Veteran trader Matthew Dixon noted Ethereum is testing overhead resistance between $2,880 and $3,000. He pointed to a completed ABC correction that started around the Pectra upgrade low near $1,800, followed by a 5-wave impulsive move.
#ETH is trading at $2,9913, testing a critical overhead resistance zone around $2,880–3,000 (marked by the red dashed line).The last impulsive move began at the PECTRA UPGRADE low near ~$1,800, completing what appears to be an extended wave 3 or C structure.2. Bearish RSI… pic.twitter.com/SN1wND01Es
— Matthew Dixon – Veteran Financial Trader (@mdtrade) July 11, 2025
According to Dixon, Ethereum’s price is forming higher highs while the RSI displays lower highs, a pattern known as bearish divergence. This often signals weakening momentum. If the structure holds, Ethereum may be nearing the end of its rally, potentially completing wave (5) or a corrective wave X.
Dixon added that if the rejection materializes, the first support range lies between $2,650 and $2,700, matching the prior wave 4 zone.Â
A further drop could test $2,450, a base formed during the last breakout. A sustained break below this level might lead Ethereum down to the $2,000–$2,200 range, where previous price consolidation occurred.
However, these zones would only come into play if price action fails to hold above current levels. So far, ETH has remained resilient, trading near $3,014, according to CoinGecko data.
Ethereum Bullish Continuation Possible if Breakout Holds
Dixon also outlined a bullish scenario. A clear daily close above $3,000 with strong volume would invalidate the bearish setup. In that case, ETH could target $3,400 to $3,500, with potential for a move back above $4,000, assuming supportive macro conditions.
Echoing that view, crypto analyst Ether Wizz said a similar pattern occurred in early 2024 before Bitcoin hit new highs. He suggested that if ETF inflows continue and ETH closes above $2,750, a $4,000 target in Q3 could become a likely outcome.
$ETH just had the most crucial breakout.
This is exactly what happened in Q1 2024 which sent BTC to new highs.
Now, there’s one more thing I want to see here.
A daily close above $2,750 with big ETF inflows.
If that happens, $4K ETH will become a certainty in Q3. pic.twitter.com/NuYYh7A8KE
— Ether Wizz (@EtherWizz_) July 10, 2025
With sentiment turning positive, investors are closely watching for sustained institutional interest and ETF inflows. Ethereum’s recent performance mirrors earlier market behavior seen ahead of Bitcoin’s rallies.Â
If current resistance breaks with volume, a new leg up could begin.
However, until a clean breakout occurs, traders remain cautious. Momentum is mixed, and price action around $3,000 will likely define Ethereum’s next major move.
Â
