Ethereum Technical Analysis: Market Outlook on June 1, 2025

Technical analysis of Ethereum on June 1, 2025, focusing on resistance, support, and indicators

On June 1, 2025, Ethereum is in a price consolidation phase, with technical analysis suggesting a mildly bullish trend, provided key support levels are maintained. The current price of Ethereum is approximately $4,450, down about 12% from its recent high of $5,050 in mid-May 2025. This minor correction follows a strong bullish rally last month, indicating a period of market consolidation. **Resistance and Support Zones** In the daily timeframe, Ethereum is oscillating near a significant resistance zone between $4,800 and $5,200. This range has previously acted as a barrier to further gains, and breaking it could signal a continuation of the uptrend. On the downside, key support levels are at $4,400, $4,200, and $3,850. The $4,400 support is a critical level, and holding it is essential to avoid a deeper correction. **Technical Indicators** The Relative Strength Index (RSI) is currently around 45, indicating a neutral state with a tendency toward consolidation. This suggests the market is neither overbought nor oversold, leaving room for movement in either direction. The MACD indicator shows a mild bearish crossover but remains in positive territory, reflecting relative buyer strength. The 50-day moving average, around $4,350, serves as dynamic support, with the price recently showing a positive reaction near this level. **Pattern Analysis** In the 4-hour timeframe, Ethereum is moving within a gentle ascending channel but has recently faced selling pressure after hitting the channel’s upper boundary near $4,800. A bullish triangle pattern is forming, typically a sign of an upward trend continuation, provided trading volume increases. Daily trading volume is approximately $18.4 billion, down from recent highs, indicating trader caution. **Potential Scenarios** Bullish Scenario: If Ethereum breaks the $4,800 resistance with high trading volume, it could target $5,200 and potentially $5,500. This scenario is supported by increased demand for smart contracts and decentralized applications (DeFi). Bearish Scenario: A break below the $4,400 support could lead to a correction toward $4,200 and then $3,850. This becomes more likely with declining trading volume and rising selling pressure. **Volume and Market Factors** Recent trading volume reflects reduced activity compared to market peaks but remains at a reasonable level. Factors such as Ethereum network upgrades, growing adoption of decentralized applications, and the NFT ecosystem could bolster the bullish trend. However, traders should monitor changes in cryptocurrency regulations and market volatility, as these could impact the price. **Conclusion** Ethereum is currently at a pivotal point. Maintaining key support levels and increasing trading volume could drive a continued bullish trend. Traders should closely watch RSI and MACD indicators, resistance and support levels, and volume changes to make informed decisions.