Ethereum (ETH) Has Cooled Off After Its Recent Rally to $2700, but Analysts Eye $3000 as the Next Resistance

Ethereum has cooled off after its recent rally to $2700, but analysts eye $3000 as the next resistance, provided support at $2200 holds.

Crypto traders are closely watching the price action in Ethereum (ETH) after a period of consolidation.

Following last week’s sharp increase that saw the price touch $2,700, Ethereum is now taking a breather. In the past 24 hours, ETH dropped 4% to reach $2,400.

The drop comes as several large-scale movements suggest profit-taking and loss-cutting by whales.

One whale just sold 7,000 ETH, which is worth around $16.88 million, and booked a major loss. The whale had previously withdrawn ETH from Binance. They began on December 5, 2024, and finished on January 13, 2025, with the last withdrawal taking place at the high price of $3,622.

Another whale closed a profit earlier today after three consecutive losses in ETH trades. They sold 2,534 ETH for about $5.86 million, locking in a $1.9 million gain. Previously, their trades resulted in a combined loss of $1.8 million.

Their trades began on May 14, with the first two resulting in losses of $1.5 million and $300,000. However, they managed to turn things around with a profit of $1.9 million.

Analysts Remain Optimistic

Despite the short-term price weakness, crypto analyst Ali Martinez says that as long as ETH stays above the $2,200 support, the next major resistance is at $3,000. He adds that if upward momentum continues, a move toward $4,000 could happen.

According to the pricing bands, as long as #Ethereum $ETH holds above $2,200, the next upside targets could be $3,000 and possibly $4,000 as bullish momentum builds.

— Ali (@ali_charts) May 18, 2025

Similarly, crypto analyst Friedrich has kept a long-term bullish outlook, predicting a potential increase to $10,000.

I'm a simple man, bullish on $ETH for the rest of 2025!

Will retweet once we reach there.

10K per $ETH!⌛✍️— Friedrich 🧲 (@FriedrichBtc) May 19, 2025

It is worth noting that ETH is still down 51% from its all-time high of $4,891, which was reached in November 2021.

ETH Price Outlook

On the daily chart, Ethereum recently pulled back from the upper band of the Bollinger Bands, signaling a cooling-off after an overbought rally. The price is approaching the mid-band (20-day SMA), which is now a critical support level.

ETH price chart with RSI and Bollinger Bands | Source: Trading View

If ETH falls below the mid-band, traders could see a retest of the $2,200 zone.

The RSI is at 60, down from recent highs near 80. This indicates fading bullish momentum but keeps ETH out of oversold territory. If the price bounces, ETH may reclaim $2,600, with further resistance around $2,900.