Ethereum (ETH) is exhibiting strong bullish technical signals, with a key momentum indicator flashing a potential precursor to a major rally. Analysis by Javon Marks highlights that the ETH/USD chart on the 3-day timeframe has printed a MACD (Moving Average Convergence Divergence) bullish crossover in December 2025. This signal, where the MACD line crosses above the signal line, indicates that downside momentum has faded and bullish pressure is rebuilding.
This setup is particularly notable as it mirrors a similar crossover in April 2025, which preceded a multi-month rally that propelled Ethereum from the mid-$2,000 range to a new all-time high of $4,946 in August 2025. Following that signal, ETH first stabilized before forming higher lows above $1,500 and eventually breaking through the $2,000 resistance to gain significant momentum.
Currently, Ethereum is trading around $3,300, approximately 33% below its August 2025 peak but holding above swing lows from November 2025. The analysis projects that if a comparable rally unfolds, the first major resistance level to watch is $4,811.71—a key price point from the 2025 rally. A decisive and sustained break above this level would confirm an exit from the corrective phase and the start of a broader expansion move, with a measured move target pointing to $8,557.68, representing a potential 160% increase from current levels.
However, Ethereum faces immediate technical hurdles. On the daily chart, ETH is pressing into a heavy multi-month resistance cluster between $3,300 and $3,500. This zone aligns with the 100-day moving average, with the 200-day MA acting as the next dynamic resistance. The price structure remains constructive as long as ETH holds above the $3,000 support area, forming a series of higher lows indicative of accumulation.
On the 4-hour chart, ETH recently broke out of a symmetrical triangle pattern to the upside but is now testing resistance between $3,300 and $3,400. The Relative Strength Index (RSI) recently signaled overbought conditions, contributing to the current sideways or pullback behavior. Key short-term support lies at the $3,000 zone and a rising trendline near $2,900.
On-chain metrics provide a positive backdrop for a potential breakout. The 30-day moving average of Ethereum active addresses has been trending upward since the beginning of 2026 and has surpassed highs from the past year, indicating improving organic network usage and demand. This surge in activity often supports uptrends following consolidation periods. The critical test will be whether elevated on-chain activity can coincide with a price breakout above the $3,500 resistance. If activity rolls over while the price stalls, it could signal a deeper correction back toward the $2,700 support zone.
