Ethereum is trading near a resistance at $3,100 as accumulation increases, with charts showing an upside towards $4,100, while short-term patterns warn of downside risks.
The asset is priced at around $2,950 at the time of writing, down 3% in the last 24 hours and up almost 1% in the last seven days. The daily trading volume is almost $22.6 billion.
Ethereum tests multi-year resistance
Ethereum has been operating within an increasingly tight price structure for more than five years. The ascending triangle pattern on the chart is formed by rising lows and a flat resistance band between $3,100 and $4,000. Analyst StockTrader_Max noted“$ETH bulls are in full control above USD 3,100,” adding that a breakout from this range could cause a surge.
It is worth noting that the price is moving towards the upper limit of this structure. The 50- and 200-week moving averages are also close to current levels, providing additional support. A cleanout and close above $3,100 could open the door to retesting the $5,000 area approached in previous cycles.
At the same time, Ethereum exhibited a falling wedge during the September to November period, the pattern usually associated with reversals. This wedge broke out in late November and the price returned to a narrower range between $2,750 and $3,200.
According to Don, this range is now showing signs of accumulation. ETH has remained above the wedge resistance. If the price breaks above $3,200, it could start a run towards the $4,400 level projected from the previous wedge breakout.
$ETH is in accumulation pic.twitter.com/DDYxjl2vJw
— Don 🐂 (@DonWedge) December 23, 2025
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The short-term pattern increases short-term risks
On the 4-hour chart, ETH could form a head-and-shoulders pattern, a setup that is often accompanied by local trend reversals. The left shoulder, head and right shoulder are visible, with the neckline drawn near $2,780.
Analyst Ali Martinez said,
“Ethereum appears to be forming a head and shoulders pattern, indicating a possible move towards $2,400.”
The pattern would only confirm if the price breaks below the neckline. Until then, the structure remains unconfirmed.
Meanwhile, Bitmine Immersion Technologies, led by Tom Lee, added 98,852 ETH to its balance sheet in the past week. This increase makes Bitmine one of the largest known ETH holders on the market.
Despite the recent outflows from the market, Ethereum has recorded $555 million in withdrawals this week, but 2025 remains a strong year overall, as previously reported. Total ETH inflows for the year have reached $12.7 billion, well above the $5.3 billion recorded in 2024.
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