Ethereum is flashing a combination of technical and on-chain signals that analysts say could be the right one beginning of a meaningful recovery. For the first time in months, the structure of Ethereum’s price action appears to be shifting in favor of bulls.
The latest price action has pushed the ETH price back above $2,300, setting up a structure that says the next leg is about to begin.
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Technical levels reset, analyst marks breakout conditions
Crypto analyst Ash Crypto drew attention to Ethereum’s price action this week points to three developments that together indicate that the foundation for another upward move could be forming.
The first major development in Ethereum’s recent price action is his step back up the 100-day simple moving average. This level has acted as dynamic resistance, consistently capping upside attempts since November 2025. The break above changes the tone of the chart, as it suggests that longer-term buyers are starting to regain control.
Secondly, a resistance zone that repeatedly rejected the price in the first quarter of 2026 has now turned into a support area. The chart shared by Ash Crypto shows an ascending trendline from the February lows, supporting the price from below and creating a tightening range along a support zone to create an ascending triangle pattern.
ETH has since broken above the upper boundary of that triangle and is now testing the horizontal resistance band in the $2,300 to $2,370 range. According to the analyst, all Ethereum now needs to do is hold above the $2,300 level for the next move upward to begin. At the time of writing, Ethereum is trading at $2,316.
Ethereum price chart. Source: @AshCrypto On X
Institutional demand returns via ETF channel
The third important development is the return of institutional inflow via American Spot Ethereum ETFs. Particularly US Spot Ether ETFs included $275.83 million in inflows in the most recent week, which is the strongest weekly inflows since the week ending January 16.
Perhaps the most compelling evidence of changing market dynamics comes from derivatives order flow data. Throughout this cycle, Ethereum has experienced persistent negative net-taker volume.
This is a metric that measures the difference between buy and sell orders on derivatives exchanges, and the negative value means that sellers consistently overpowered buyers.
That pattern is now reversed. As noted by CryptoQuant analyst Darkfost, buy-side volumes have taken control derivatives markets for the first time in the cycle, with a recently recorded volume of +$102 million.
ETH: NetTakerVolume. Source: @Darkfost_Coc On X
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The last time Ethereum registered buying pressure of this magnitude in the derivatives markets was during the 2022 bear market, when ETH was trading around $1,000. If this trend continues and buyers continue to absorb the selling pressure, this could indicate the early stages of a stronger structural recovery for Ethereum.
Featured image from Unsplash, chart from TradingView