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Ethereum could be positioned for a bull rally, with technical indicators suggesting the market is approaching a critical decision point, according to analyst Ali Martinez.
In an analysis posted on X, Martinez said ETH is currently testing the upper resistance line of an ascending triangle formation on the daily chart. He noted that while price action appears strong, the TD Sequential tool is showing a sell signal. Martinez added that the same warning previously preceded a pullback to support when the asset last traded near $2,400.
Despite the sell signal, Ethereum has reclaimed its 100-day simple moving average, which Martinez cited as evidence of underlying strength.
Martinez said his focus is a daily close above $2,480. He suggested that such a move would invalidate the bearish TD signal and confirm a breakout from the triangle pattern, potentially opening the way for a rally toward $2,900.
He also outlined additional levels:
Ethereum is up 6.83% to $2,358.40 over the past 24 hours, outperforming Bitcoin’s 4.74% gain and a broader market rally.
The article attributed the move to easing geopolitical tensions and strong institutional ETF inflows. It said hopes for geopolitical de-escalation and a sharp reversal in ETF flows shifted capital from Bitcoin to Ethereum, with ETH spot ETFs recording their strongest weekly inflows of 2026 at $187 million.
It also pointed to a risk-on rotation into altcoins, reflected in a rising ETH/BTC ratio, alongside higher on-chain activity, with daily transactions up 41% week-over-week.
Overall, the outlook hinges on whether ETH can hold above $2,180 and break $2,400. If it does, the analysis suggests a path toward $2,750. If it fails to defend support, the scenario shifts toward a $2,030 retest.

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