A leading cryptocurrency analyst predicted on Monday a bullish breakout for Ethereum (CRYPTO: ETH) if it closes above the crucial resistance at $2,375.

Why The Level Holds Significance

In an X post, Ali Martinez highlighted ETH testing the upper resistance of a descending 4-hour channel at $2,375, a level that previously triggered rejections.

“Failure to clear this barrier could trigger a retracement to the channel’s lower boundary, currently near $2,210,” Martinez projected. “However, if ETH gains the strength to print a daily close above the $2,375 resistance, a 7% bullish breakout could follow, targeting the next structural high at $2,550.

Martinez added that repeated tests weaken resistance.

What Next For ETH?

The prediction followed a late Sunday evening cryptocurrency spike that extended into the early hours of Monday. Bitcoin (CRYPTO: BTC) reclaimed $80,000 after a three-month wait, while Ethereum and other major tokens also rallied.

Derivatives market was heating up, with open interest in ETH futures surging 8.13% over the last 24 hours, according to Coinglass. The majority of retail traders on Binance were positioned bullish, while most whales also placed a higher number of longs vis-à-vis shorts.

The Bull Bear Power indicator, meanwhile, which measures the strength of buyers and sellers, flashed a “Buy” signal for ETH, according to TradingView.

The Awesome Oscillator, which compares recent market movements to historic market movements, also flipped bullish, according to TradingView.

Price Action: At the time of writing, ETH was exchanging hands at $2,358.63, up 2.14% in the last 24 hours, according to data from Benzinga Pro.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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