## ETH breaks through the descending channel, can long positions hold $4.2k?

Ethereum has just escaped from the descending channel, and the question now is: can it hold?

**Key Position Sorting:**

Support levels: $4,177 and $4,071 are two life-saving lines. If it falls below $4,177, this rebound may be aborted.

Resistance levels: $4,523 is the first level, $4,709 is the second level. If it breaks $4,7k, theoretically there is the Fibonacci extension level of $4,900 waiting.

**How to view the technical aspect:**

- The FTI algorithm gave a bullish score of 85, indicating that the momentum is indeed present.
- Traders' target levels are $4,617 and $4,749
- The breakdown of the descending channel itself is a classic trend reversal signal, and historically, the success rate of this pattern has been quite good.
- The volatility is at a moderate level, giving long positions a breather.

**Risk boundary:**

A stop loss placed near $4,173 seems reasonable. If this line is not held, the story for long positions will need to be retold.

**How is the overall environment:**

The recent surge in ETH did not appear out of nowhere - institutional adoption is heating up, on-chain activity is picking up, and the macro environment is still friendly.

**Summary:** As long as ETH doesn't turn around to touch $4,177, the range of $4.5k-$4.7k is a more realistic target in the short term. The next two weeks are crucial; whether this upward trend can be truly established depends on whether it can break through the $4.7k barrier.