Ethereum price has rebounded near $1,800 as geopolitical tensions ease and an aggressive short squeeze across crypto derivatives restores appetite for risk assets, but traders are now focused on whether bulls can force a break through a key technical ceiling.
The second-largest cryptocurrency has rebounded sharply from this week’s lows of around $1,505, when the U.S. attack on Iran triggered a sharp decline in digital assets overall. Sentiment reversed in the past 24 hours after fears of further escalation receded, prompting investors to move back into riskier assets.
A wave of forced short-term liquidations has accelerated this movement, $ETH It passes through several resistance levels and returns to the psychologically important $1,800 mark.
Asian markets added a new catalyst. South Korea’s Kospi index rose about 4% as artificial intelligence and semiconductor stocks rose, prompting a broader return to growth assets.
Ethereum joined the rotation even as the U.S. Spot Ether ETF recorded a combined net outflow of about $52 million on Thursday. This suggests that overseas spot demand and crypto-native purchases more than compensate for weaker US institutional capital flows.
New regulatory developments also improved sentiment. CFTC leadership has asked the U.S. Senate to advance the Digital Asset Market Transparency Act, a proposal that would establish a clearer regulatory framework for digital assets.
At the same time, Ethereum continues to dominate the tokenized real-world asset market with nearly half of the world’s RWA value secured on its network, strengthening the chain’s position as institutional tokenization activity grows.
Ethereum has regained key resistance, but $1,800 remains a decisive hurdle
The daily chart shows Ethereum reclaiming the 2/8 Murray Math Pivot near $1,750 after rebounding from 0/8 support near $1,500. While the price is currently testing the upper end of its range near $1,800, Chaikin Money Flow has returned to positive territory at 0.08, suggesting that capital is starting to return after weeks of selling.
On the 4 hour chart, $ETH It has broken above the 78.6% Fibonacci retracement at around $1,773 and is trading just below resistance near $1,833. Momentum is gaining strength as the MACD widens its positive histogram bar to complete a new bullish crossover, and the RSI is above 62 without entering overbought territory yet. Taken together, these indicators leave room for further progress if buyers maintain control.
Derivatives positioning supports the technical situation. CoinGlass liquidation data shows that one of the largest short-term liquidation clusters is between $1,790 and $1,810. A continued move above this zone could trigger another forced buy, but we believe the next concentration of leveraged positions will be closer to $1,850. As long as these pockets of liquidity remain overhead, volatility is likely to remain elevated.
Commenting on the latest structure, analyst Ted Pillows said:
“$ETH is holding above the $1,750 level, which is a good sign. Spot demand has recovered a bit and Ethereum could head towards the $1,850-$1,900 zone in the coming weeks. ”
Separately, fellow analyst Alex Marzel claimed that he believes Ethereum has rebounded from the lower end of a long-term descending channel and that “one clean breakout of the upper trend line could change everything.”
$ETH I’m quietly preparing for something big.
Ethereum has had a strong bounce off the bottom of this huge descending channel.
The structure is still bearish for now, but one clean breakout of the upper trendline could change everything.
Breakout = trend… pic.twitter.com/Jp6Knn10CW
— Alex Marzell (@MarzellCrypto) July 10, 2026
Failure to hold $1,750 will weaken the recovery regime.
Despite improving momentum, Ethereum has yet to confirm a trend reversal. The $1,800 to $1,833 area combines Fibonacci resistance with a dense pocket of liquidity and represents the first major test for bulls.
A repeated rejection from this area would increase the likelihood of another move towards $1,725, but a break below $1,750 would expose the $1,620 to $1,550 support area that started the current recovery.
Macro risks also remain. Any new tensions in the Middle East, better-than-expected U.S. inflation numbers, or a new wave of ETF outflows could reduce demand for risk assets and disrupt Ethereum’s recovery. Until buyers establish support above $1,800, the current rally remains a recovery rally rather than a confirmation of a long-term trend reversal.
