Is Ethereum (ETH) Bullish in 2026?

Ethereum (ETH) has shown encouraging signs of recovery in recent days, but the broader technical picture remains mixed. Since the beginning of July, ETH has gained nearly 18%, helping establish a new daily support zone and improving short-term market sentiment. While this opens the door to a potential continuation higher, the market still faces important technical risks that traders should keep in mind.

Ethereum (ETH) technical analysis

ETHUSD - 1 Day Time Frame

The newly formed support zone between $1,645 and $1,745 is an important development because it suggests buyers have successfully defended this area following the recent recovery. As long as Ethereum continues to hold above this zone, the probability may remain slightly more favorable for further bullish price action.

In that scenario, the next logical upside objectives are the Buy-Side Liquidity zones around $2,160 and $2,465. These levels could act as natural targets if Ethereum continues to build momentum above the current support structure.

Ethereum (ETH) price target

While the short-term outlook has improved, there is still an important source of downside risk. On the daily chart, Ethereum has formed two similar lows, creating a double-bottom pattern. This suggests a significant amount of Sell-Side Liquidity could be resting below these levels, particularly around $1,510 and $1,370.

This remains the main risk for early long positions. Even though a support zone has been established on the daily timeframe, the market could still move lower to sweep liquidity beneath the double bottom before attempting a stronger bullish move.

For now, Ethereum remains in a balanced technical position. The support zone between $1,645 and $1,745 continues to support the bullish case, with potential upside targets at $2,160 and $2,465. At the same time, the liquidity resting around $1,510 and $1,370 highlights the possibility of increased volatility before any sustained recovery develops.

As a result, a long position could be considered, but the current setup carries a higher degree of risk. The key will be monitoring whether ETH continues to hold above its support zone or first moves lower to sweep Sell-Side Liquidity before attempting another move higher.

Crypto assets are unregulated, decentralised and highly volatile assets which entail substantial risks and you may lose all invested capital. Refer to the Disclaimers for detailed information on potential risks.