Ethereum (ETH) spent most of the last five weeks consolidating.
Although we saw the crypto gain 50% between late February and mid-March, it was part of a larger consolidation pattern.
However, that sideways action broke on Wednesday.
I talked about this at length on Twitter as the market was retesting the $1,870 resistance area.
You can see where $1,870 is a key horizontal level and a trend line that extends from Ethereum’s all-time high near $2,040.
Because it’s a descending level, new support is closer to $1,840 today.
As long as ETHUSDT stays above $1,840 on a daily closing basis, the near-term bullish outlook is intact.
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ETHUSDT probably needs to secure a daily close above $2,000 to confirm the next leg higher.
That said, Ethereum’s $1,968 close on Thursday was its highest ever, reaffirming that buyers remain in control.
My short-term target for ETHUSDT is $2,500, followed by $3,000.
Both are in play as long as the market trades above $1,840 on a daily closing basis.
I still expect ETHUSD to exceed $10,000 by the end of this bull market, which should, in my opinion, run for another five or six months.
Disclosure: I have long exposure to ETH.