Ethereum Price Forecast: Is ETH Heading to $3,000 After Key Trend Line Break?

President Donald Trump and a group of his aides have been trying to appease the market’s rout by expressing their desire to negotiate tariffs with China and showing progress in their discussions with other countries.

Moreover, the President himself clarified that he does not intend to fire the Chairman of the Federal Reserve, Jerome Powell, even though he made some hostile comments toward the head of the central bank, calling him a “major loser” for refusing to cut rates.

Market sentiment has improved significantly in the past few days as measured by the Fear and Greed Index.

This sentiment gauge moved from a record low of 15 a few days ago to 53 at the time of writing, meaning that investors have moved from “Extreme” Fear toward a “Neutral” outlook as market conditions have apparently improved compared to the past two weeks.

Ethereum’s TVL Rises by 43% in 2025

Despite ETH’s significant downturn this year, the network’s total value locked (TVL) in ETH has surged by 42.5% in 2025, meaning that its DeFi ecosystem has kept expanding in these challenging market conditions.

Moreover, transaction volumes have increased in the past few days, moving from a total of 1 million TXs processed on April 19 to 1.3 million as of yesterday for a 30% increase.

Ethereum investors have also been keeping an eye on the rollout of an upcoming network upgrade called Pectra, which should improve the blockchain’s capacity to scale and keep up with rising transaction volumes with the help of its successful L2s.

In addition, the upgrade also increases the number of tokens that need to be staked to participate in the validators pool to prioritize the largest and most powerful nodes to increase the network’s efficiency.

ETH’s price has plummeted this year, losing 47.3% of its value since the year started as the crypto market was hit by unfavorable macroeconomic headwinds.

However, the latest uptick in the price has provided an encouraging buy signal and historical patterns suggest that this could be the beginning of a bullish cycle for the second-largest cryptocurrency.

ETH’s History Suggests an Upcoming Push to $3,000

We have been monitoring how the price action evolves compared to these patterns and suggested in previous articles that the price may have entered a phase of consolidation after the Relative Strength Index (RSI) hit oversold levels.

This consolidation should have lasted a few months, as it did in the past, but the latest rally may have already pushed ETH out of this phase and into a bullish cycle. In past instances, ETH delivered gains ranging between 80% and 150%.

ETH’s most encouraging signal was a break above the 21-day exponential moving average (EMA) that was accompanied by strong trading volumes.

Although false positives have occurred in the past where ETH has attempted to move above the 21-day EMA only to be plunged back down just days after, this is an encouraging first sign that the market is trying to push through bearish sentiment to reverse the downtrend.

If this turns out to be the token’s definitive bullish breakout out of its consolidation stage, it could set things in motion to propel ETH to retest the trend line resistance (former support) shown in the chart, meaning that the token could climb to $3,000 in the next few months.

Momentum indicators are favoring a bullish outlook as the Relative Strength Index (RSI) has made a decisive move above its 14-day SMA while the MACD’s histogram has been steadily rising in the past 11 days as well.