Ethereum tests the $1,600 to $2,000 support again! Is a major breakout or a deeper pullback next?

Ethereum has once again come to a key inflection point, retesting the crucial support zone that previously dictated its price direction in past cycles. As market attention zeroes in on whether buyers can defend this area, two major long-term charts suggest either a potential for renewed recovery or the risk of a further correction in the near future.

Critical threshold at the support zone

According to a weekly chart shared by analyst Donald Dean, Ethereum continues to trade near the important $1,600 to $2,000 support, which has been upheld by an ascending trendline since the lows of the 2022 bear market. This technical posture signals that ETH has once again entered a make or break stage.

Past chart data also shows Ethereum generating robust rebounds twice from similar technical structures. Historically, these rallies triggered price surges of around 366% and 249%, underscoring this area as more than a short-term buffer but a level with serious significance in previous market cycles.

Among the most closely watched thresholds in the market lies the psychological $2,000 level, a price point that has acted as both support and resistance in the past. Recently, however, ETH fell beneath this line, and is now struggling to stabilize at lower support zones.

Mini glossary: The volume profile is a technical analysis tool showing the amount of trading that occurs at different price ranges. Areas where significant volume stands out can act as potential support or resistance zones for the price.

A look at the volume profile also highlights two distinct high-volume bands near the current range. Historically, these regions of intense activity have formed the groundwork for renewed demand, should buyers step back in. The presence of the ascending trendline at current levels further raises the stakes for ETH’s technical outlook.

Long-term projection flags $35,350 as a potential target

On another front, analyst Don Wedge has shared a multi-year ETH/USD chart showing Ethereum holding close to the lower boundary of its long-term upward channel, a formation in play since 2017. If this structure holds, Wedge projects a possible price target of $35,350 around April 2027.

According to this analysis, three main factors will shape Ethereum’s long-term course: the channel’s lower support, the upper resistance trend, and time-based projections. Should ETH maintain the lower channel, a move toward higher resistance areas could come into focus. Conversely, a breakdown below this structure would weaken the long-term bullish scenario considerably.

It is important to note, however, that this target is a technical projection, not a precise prediction. For Ethereum to approach the $35,000 region, it must first safeguard support within its price channel and reclaim key resistance levels. Overall, current charts reveal that the market remains at a crossroads, rather than offering a clear directional signal for the days ahead.

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