Ethereum Eyes $2,900 Breakout as Bulls Defend Key Support Level

Ethereum may be entering a significant structural shift after breaking through a critical resistance level that analysts say could propel the cryptocurrency toward $2,900. Crypto analyst Ali has confirmed that ETH has officially cleared the apex of an ascending triangle pattern, surpassing the pivotal $2,385 resistance zone — a move that technically opens the door to substantial upside.

According to Ali, the most important development is Ethereum converting that $2,385 level from resistance into a firm support floor. This flip effectively neutralizes recent bearish signals and points toward a major trend continuation for the world's second-largest cryptocurrency by market capitalization. With overhead supply now cleared, the technical target for this ascending triangle formation sits squarely at $2,900, and bulls retain the advantage as long as prices hold above the breakout zone.

In recent short-term price action, Ethereum climbed to a high of $2,466 on April 17, extending a recovery from a March 29 low of $1,937. Sellers attempted to cap the rally at that high, but bulls refused to surrender the $2,300 level, signaling strong underlying demand. A sustained hold above $2,385 could push ETH first toward $2,900, then potentially to $3,050 — a development that may also confirm a broader market bottom near $1,742.

However, a sharp reversal below $2,300 would invalidate the bullish outlook in the near term, potentially exposing Ethereum to a decline toward $1,916 and suggesting the recent rally was merely a bull trap.

On the fundamental side, Ethereum processed a record 200.4 million base-layer transactions in Q1 2026, reflecting a multi-year recovery in network activity. Despite this, ETH remains more than 50% below its August 2025 peak near $5,000, highlighting a notable gap between strong on-chain fundamentals and current market price — a divergence that bulls argue makes Ethereum undervalued at current levels.