Ethereum closed its latest monthly candle above a key resistance level around $2,470, marking its first higher high since a downtrend began in August 2025. The price movement has prompted analyst Matthew Hyland to declare on X that the downtrend has ended and a new bull market has started.
Hyland's analysis points to the monthly chart structure as confirmation, comparing the current setup to configurations that preceded Ethereum rallies in 2016 and 2020. The downtrend saw the token decline through steady lower highs and lower lows, with prices bottoming near $1,500 to $1,600 in June and July.
At the time of reporting, Ethereum was trading above $2,400, up approximately 31% over the past month and 30% in two weeks. The token remains about 50% below its record price of over $4,900 from August 2025.
Other market observers have highlighted key price levels in the current structure. Analyst DonAlt identified support around $2,100 and noted potential resistance near $4,000, while warning that a break below $2,000 could drive prices toward $1,000. Fellow analyst Quantum Ascend observed that Ethereum's monthly candle closed near its 50-month simple moving average with the RSI deeply oversold, a setup last observed in spring 2025 before a 3.5x rally over five months.
Network activity has accompanied the price recovery, with Ethereum approaching 1 million active addresses despite significant activity on Layer 2 networks. The immediate test of the bullish thesis will be whether Ethereum can hold the $2,470 breakout level, with traders citing $4,000 as the next major target if the move sustains above this zone.
