Ethereum is testing the $4,000 resistance level for the seventh time since 2021, showing increased bullish momentum with higher lows and tighter price ranges, suggesting a potential breakout toward new all-time highs.
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Ethereum’s $4K resistance has held since 2021 but is under growing pressure from buyers.
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Repeated tests with compressed price action indicate weakening seller control and stronger bullish interest.
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A successful breakout above $4,000 could trigger price discovery, targeting $5,000, $7,000, or higher levels.
Ethereum tests $4K resistance for the seventh time since 2021, signaling a possible breakout. Stay updated with $ETH price trends and market insights.
Ethereum’s Persistent $4,000 Resistance Since 2021
The $4,000 resistance level has been a significant barrier for Ethereum since late 2021. Over nearly four years, $ETH has encountered this ceiling seven times without a confirmed breakout. This level has shaped multiple lower highs, reinforcing its strength as a key price ceiling in the market.
How Has Ethereum Reacted to the $4,000 Barrier Over Time?
Ethereum’s price action reveals seven distinct rejections at $4,000, starting after the 2021 bull run peak. Each attempt was met with selling pressure, preventing sustained gains above this threshold. However, recent tests show higher lows and tighter consolidation, signaling that bullish forces are gaining ground. This pattern often precedes significant price moves, as compression near resistance builds momentum.
Ethereum’s $4,000 Resistance Is the Final Barrier Before Price Discovery
Market analyst Merlijn The Trader describes the $4,000 level as the “final boss” for Ethereum. This resistance has been tested seven times, but the current attempt shows signs of weakening seller dominance. The clustering of candles near $4,000 and the formation of higher lows suggest mounting bullish pressure. If $ETH breaks above this level, it could enter a price discovery phase with minimal resistance up to $5,000 and beyond.
$ETH: $4,000 IS THE FINAL BOSS
The ceiling since 2021
Rejected 7 times
Now under pressure
This isn’t just another resistance.
It’s the gate to price discovery.
And Ethereum is knocking louder than ever. pic.twitter.com/lHbtzN4Ttu
— Merlijn The Trader (@MerlijnTrader) July 29, 2025
What Could a Breakout Above $4,000 Mean for Ethereum?
A confirmed breakout above $4,000 would mark a significant shift in Ethereum’s market dynamics. Without historical resistance between $4,000 and $5,000, $ETH could experience rapid upward momentum. This scenario may attract increased trading volume and institutional interest, fueling further gains. The formation of higher lows supports this bullish outlook, indicating sustained buying pressure.
How Are Traders Positioning for a Potential Ethereum Breakout?
Traders are closely watching the $4,000 zone, anticipating a decisive move. The compressed price range and repeated tests suggest sellers are losing control. If the breakout occurs, it may trigger a surge toward $5,000, $7,000, or higher targets. Market participants are preparing for increased volatility and potential capital inflows, signaling confidence in Ethereum’s upward trajectory.
Frequently Asked Questions
What does Ethereum testing $4,000 resistance mean for investors?
Testing the $4,000 resistance indicates growing bullish momentum. Investors may see this as a sign of a potential breakout, offering opportunities for gains if $ETH surpasses this level.
Why is the $4,000 level important for Ethereum price action?
The $4,000 level has been a significant barrier since 2021, representing a psychological and technical resistance point that must be overcome for Ethereum to enter new price discovery phases.
Key Takeaways
- $4,000 resistance: A major barrier tested seven times since 2021, now showing signs of weakening.
- Bullish momentum: Higher lows and tighter price ranges indicate growing buying pressure.
- Price discovery: Breaking $4,000 could lead to rapid gains toward $5,000, $7,000, or higher.
Conclusion
Ethereum’s repeated tests of the $4,000 resistance highlight a critical juncture in its price trajectory. The current bullish structure and compressed price action suggest that a breakout is increasingly probable. Should $ETH surpass this key level, it could enter a new phase of price discovery, attracting further market interest and capital. Investors and traders should monitor this level closely as Ethereum approaches a potential turning point.