🚀 Ethereum is preparing for a breakout above the $4000 level – what does this mean for the market?

Why is ETH important for market movements?

ETH is not only the second largest cryptocurrency by market capitalization, but it is also the leading indicator of the state of the altcoin market (Altcoins). When ETH rises sharply, funds usually begin to flow gradually into the rest of the altcoins after stabilizing. Therefore, any successful breakout of ETH above 4000 could ignite a new wave of mini Altseason.

In the past few weeks, we have witnessed a strong rise in the price of $ETH from levels around $1537 to a peak of $3860, in one of the strongest bullish waves of this year. This sharp increase did not come out of nowhere, but coincided with an improvement in risk appetite and the return of liquidity to the cryptocurrency market, along with positive technical signals across most timeframes.

🔹 Was the recent correction negative? Not at all. The correction that occurred recently after touching the level of 3860 was very normal after this strong rise, and it is explained as a temporary profit-taking and liquidity accumulation before an attempt to launch again. The Relative Strength Index (RSI) is still above the level of 70 (76 currently), which reflects strong momentum but also indicates that we might need a short cooling-off period before the next rise.

🔸 The upcoming goals for ETH are now focusing on the psychological level of $4000, which represents strong resistance and could be a gateway to test higher levels at $4200 and then $4500 if the current momentum continues and the price successfully closes daily above 3860.

📊 To monitor:

Monitor the breakout of the 3860 level and the closing above it with a daily candle.

Monitor the stability of the RSI and avoid entering the excessive exhaustion phase.

Monitor leading indicators such as TOTAL3 and BTC Dominance to confirm the altcoin season.

✍️ Summary: The current movements of $ETH are not just random rises, but driven by technical momentum and increasing institutional interest. Surpassing 4000 and achieving new historical highs will be a turning point in the market and may open the door to good opportunities in alternative currencies.

Do you think ETH will succeed in breaking the 4000 barrier?

And what is the altcoin that you are anticipating its rise with this momentum? 💬👇

#Cryptomaxx # Ethereum