Ethereum (ETH) is showing early signs of a short-term momentum shift after climbing above the 100-day Exponential Moving Average (EMA), a key technical indicator closely watched by crypto traders. For months, ETH had been forming structurally lower highs while trading below major moving averages, including the 26, 50, and 200 EMAs, which were aligned in a bearish configuration. This setup reinforced persistent selling pressure and limited recovery attempts.
The ETH/USDT chart reveals that price action previously broke down from the critical $2,800 support level before compressing between $1,900 and $2,000. Once this long-standing floor failed, Ethereum entered a confirmed bearish continuation phase, accelerating its decline. However, the recent breakout above the 100 EMA suggests weakening sell-side dominance and improving short-term sentiment.
Unlike prior recovery attempts that lacked volume and quickly faded, this rally was supported by a noticeable increase in trading volume. The move followed a series of higher lows and tight consolidation, signaling that sellers were gradually losing control before the breakout occurred. This technical development strengthens the case for a potential transitional phase in Ethereum’s price trend.
Despite the bullish momentum, Ethereum still faces significant resistance at the 200-day EMA, and the broader trend remains cautious. Historically, reclaiming the 100-day EMA often marks the beginning of a consolidation or transition period rather than an immediate trend reversal.
If buying pressure continues and ETH maintains support above the reclaimed moving average, momentum could extend further as the asset recovers from oversold conditions into neutral territory. For now, sustaining price action above the 100 EMA and converting it into dynamic support will be the next critical test for Ethereum’s price outlook.
