Ethereum’s Surprising Leap: Is $2.9K The Fool’s Gold For Traders?

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  • Ethereum has unceremoniously tripped over its five-month downtrend, landing on the right side for once 🍸
  • The biggest altcoin whipped up a market so bullish you’d think it swallowed a Red Bull 🐂

Ethereum [ETH], not content with merely being the life of the blockchain party, thundered up by a whopping 47% in five days, leaving Bitcoin with a mere 7.9%—all very “pat on the back, old chap, but I’ll take it from here.” Bitcoin’s Dominance went on a diet, slimmed down from 65.36% to 62.38%—one can only imagine BTC looking disappointedly at its waistline. Meanwhile, altcoins turned the sofa upside-down and found a cool $232 billion behind the cushions.

The Pectra upgrade appeared and suddenly, everyone and their Aunt Agatha developed an interest—retail investors, whales, and possibly a few enthusiastic hamsters. Yet, it all became very Sotheby’s with some large holders sneakily unloading their bags into central exchanges, hoping no one would notice (we did).

Ethereum: About to Break Out or Just Teasing the Markets Again?

The OBV had been more depressing than a Monday morning, down, down, and down… until suddenly, last month, it decided to perk up. Buyers apparently had enough of sitting in the corner and started waltzing in. The CMF, not to be left out, chimed in: “Hear, hear, the bulls are indeed throwing a bash!”

The CMF read +0.25, and that’s metric speak for “money’s gushing in like a broke gambler at the track.” MFY came along for the ride—rising, hopeful, and bullish. Still, no nasty bearish divergence popped up on the daily chart, so the market’s not quite ready to put ETH to bed yet.

The Fibonacci levels—because what’s a party without a little napkin math—showed the 50% retracement level loitering at $2,774. Ethereum seemed to be eyeing it like a cat eyes the cream, tongue out and tail twitching.

The liquidation map, always a killjoy, highlighted few short liquidations overhead. No easy pickings—just high-leverage longs waiting for a market drop to $2.4k or $2.5k to sweep the legs out from under them. If you hear a distant wail, it’s probably an overleveraged trader getting “liquidity hunted.”

The 6-month liquidation heatmap revealed the $2.9k region—an irresistible magnet for price action. ETH is dashing there, but whether it busts through or bounces back with an embarrassed cough is still up for grabs.

For any hope of waltzing beyond the hallowed $3k, ETH will need not just bullish Bitcoin, but a handful of macroeconomic pixie dust. Without that, it’s all bluster and no breakthrough.

Now, the 1-month liquidation heatmap: Ethereum was loitering around $1.8K in early May, did a little jig to $1.9K (liquidating shorts along the way), and then strutted higher. Recent days have seen a similar, if slightly less dramatic, tango—liquidity clustering near $2.7k and ETH helping itself to the buffet.

So, expect ETH to loiter below $2.8k a bit longer, perhaps straighten its tie, compose itself, and prepare for another leap. Meanwhile, rumor has it that whales have started cashing in, so you may want to swipe some profits and have a getaway plan ready, lest Ethereum’s mood swings catch you unaware. 🚀🐳

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2025-05-14 09:54