Ethereum's ongoing recovery has placed the $2,100 level in sharp focus, though analysts remain divided on whether the current move can sustain momentum toward the $2,500 target. Reclaiming and holding key support levels could reinforce the rebound, while a rejection near resistance may prompt another downward correction.

Ethereum Reclaims Key Support as $2,500 Target Holds

Ethereum has climbed back above the $1,825 support level after forming a potential bullish divergence near its June lows. Analyst Michaël van de Poppe stated that the recovery keeps the broader target around $2,500 intact despite the recent market correction.

The daily chart shows ETH rebounding from the $1,505 area and recovering above its short-term moving averages. Price is now attempting to convert the former $1,825 resistance into support, a development that would bolster the case for additional upside.

The next major resistance sits near $2,465, followed by a broader target zone between approximately $2,500 and $2,620. Reaching that zone would require ETH to maintain its current structure and break above the sequence of lower highs established since May.

The setup, however, remains vulnerable as long as ETH trades below $2,000. A daily close below $1,825 could weaken the recovery narrative and bring the $1,700 area back into consideration. A deeper breakdown would expose the June support near $1,505.

For now, Ethereum's rebound remains active. Holding above $1,825 would support a move toward $2,000 and eventually $2,500, while losing that level would delay the bullish scenario.

Ethereum Faces $2,100 Test Before Deeper Correction Risk

Ethereum could extend its recovery toward $2,100 before encountering another major correction, according to an Elliott Wave analysis shared by analyst CobraTrader. Elliott Wave theory is a technical analysis framework that attempts to identify recurring wave patterns in price movements to anticipate future directional shifts. The chart identifies that region as a potential fourth-wave top near the 0.31 Fibonacci retracement level.

The $2,100 area represents the first major resistance within the setup. ETH would need to break above its recent recovery structure and hold the level to weaken the bearish Elliott Wave count.

The analyst, however, expects the fourth-wave rebound to remain temporary. A rejection near $2,100 could initiate a fifth corrective wave toward the broad $1,000–$1,250 support zone.

The chart places additional support around $1,505, where ETH previously established a major low. Losing that level would strengthen the argument for a deeper decline and bring a lower accumulation zone into focus.

The longer-term projection in this analysis remains bullish following the correction. The analyst's projected path shows ETH recovering from the anticipated bottom and eventually moving above $3,400, with a possible extension toward $5,000.

At present, $2,100 stands as the key decision level. A rejection there would support the deeper correction scenario, while a sustained breakout could invalidate or delay the bearish wave structure.