ETHUSD Analysis: Reclaims $3,000 but Major Resistance Looms

In this comprehensive analysis, Ultima Markets brings you an insightful breakdown of the ETHUSD for January 28, 2026.

Technical Analysis of ETHUSD

ETHUSD Daily Chart Insight

• Ethereum has been in a sustained downtrend since peaking near $4,100 in October. Since late November, however, the price action has shifted into a consolidation phase, with ETH trading broadly between $2,750 and $3,350. Currently, the price is bouncing from the lower end of this range, suggesting a short-term bullish move likely toward $3,150–$3,180. That said, the medium-term outlook remains bearish as long as the price stays below the Green Moving Average at approximately $3,326.
• Key Levels: The immediate support level sits between $2,825 and $2,895, where the price has recently established a floor based on late January 2026 candles. Several long lower wicks in this area indicate active buying pressure that has prevented further downside movement. Below that, $2,750 represents major critical support—essentially the “line in the sand.” This level marks the lowest low established in late November, and if it fails, the chart structure would break down significantly. On the resistance side, immediate overhead pressure is found between $3,039 and $3,050, provided by the Purple fast-moving average and the current psychological level. The next resistance level is at $3,180, which aligns with the Black medium-term moving average. Above that, major resistance sits between $3,325 and $3,360, forming the “ceiling.” This zone represents a confluence of the Green long-term moving average and recent swing highs, where the price failed to break through in mid-January.

ETHUSD 2-Hour Chart Analysis

• The current momentum is sufficiently strong that attempting to short immediately would be risky, even with overbought conditions present. Traders should either wait for a pullback to $2,955 to confirm whether support holds, or look for a breakout above $3,060 to validate the next upward move.
• Breakout Scenarios: The bulls are currently in control of the H2 timeframe, with the trigger for continuation being a clear 2-hour candle close above the Green MA at $3,060. If $3,060 is cleared, the “gap” would fill quickly toward $3,130 – $3,150, as the V-shape recovery suggests there is enough liquidity to push through if volume sustains. However, given that the Stochastics are overbought and the Green MA is just overhead, a bearish scenario remains possible. The trigger would be a rejection wick at $3,050 followed by a drop back below the Black MA at $2,955. If the price loses $2,955, it would confirm that the rally was a “Dead Cat Bounce,” and the price would likely revisit the $2,900 area or even retest the lows at $2,820.

ETHUSD Pivot Indicator

• The trend is unmistakably upward. Aggressive traders can look for breakout trades above $3,035, while conservative traders should wait for a pullback to the $2,950 – $2,980 zone before entering the trend. Despite the overbought signal, attempting to short here is dangerous given the vertical momentum.
• The Bullish Continuation: The chart shows a High Tight Flag pattern. In this scenario, the price consolidates sideways between $3,000 and $3,025 to let the Stochastics reset. The breakout trigger would be a candle close above $3,034, with a measured move suggesting a push toward $3,080 – $3,100.
• The Pullback & Retest: Given the Stochastics cross, a deeper correction is possible. In this scenario, the price loses the Purple MA support at $3,005 and rotates down to test the $2,950 region, where the Green/Black MA confluence sits. This would likely be a healthy dip for bulls to reload long positions, as the underlying trend remains upward.

How to Navigate the Forex Market with Ultima Markets

To navigate the complex world of trading successfully, it’s imperative to stay informed and make data-driven decisions. Ultima Markets remains dedicated to providing you with valuable insights to empower your financial journey. For personalized guidance tailored to your specific financial situation, please do not hesitate to contact Ultima Markets.

Join Ultima Markets today and access a comprehensive trading ecosystem equipped with the tools and knowledge needed to thrive in the financial markets. Stay tuned for more updates and analyses from our team of experts at Ultima Markets.

—–

Legal Documents

Trading leveraged derivative products carries a high level of risk and may not be suitable for all investors. Leverage can magnify both gains and losses, potentially resulting in rapid and substantial capital loss. Before trading, carefully assess your investment objectives, level of experience, and risk tolerance. If you are uncertain, seek advice from a licensed financial adviser. Leveraged products are not intended for inexperienced investors who do not fully understand the risks or who are unable to bear the possibility of significant losses.

Copyright © 2025 Ultima Markets Ltd. All rights reserved.

Disclaimer

Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided.