Ethereum Shows Strong Bullish Signs Above Key Support

• Ethereum’s OBV shows continued bullish momentum.
• Higher lows signal strong market structure.
• $4K breakout possible if support holds above key level.

Ethereum (ETH) is showing a promising technical setup as traders eye a potential push towards the $4,000 mark. A closer look at the On-Balance Volume (OBV) indicator reveals rising buying pressure, supported by a pattern of higher lows—a classic bullish signal in technical analysis.

As long as ETH maintains support above the blue trendline highlighted in the chart, momentum remains in favor of the bulls. This line has now become a key pivot area for Ethereum’s short-to-midterm price action.

Higher Lows Signal Strength in Price Action

The pattern of higher lows suggests that buyers are stepping in at increasing price levels. This is typically a sign of growing confidence in the asset and adds strength to the ongoing bullish structure.

While Ethereum hasn’t yet broken above the psychological $4,000 resistance, it’s showing clear intent. If the upward momentum continues and this support line holds, the chances of a breakout increase significantly.

A Backup Plan Remains Essential

Despite the optimistic outlook, seasoned traders know the importance of having a backup strategy. Should Ethereum break below the established support line, a reevaluation would be necessary, potentially leading to profit-taking or repositioning.

Until then, the bullish bias remains intact, and all eyes are on whether Ethereum can rally past the $4,000 level in the coming weeks.

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