Key Insights:
- Ethereum price tests 50-day EMA and downtrend line as Pectra upgrade goes live.
- Pectra upgrade could cut L2 fees by 30-40%, boosting Ethereum’s appeal.
- ETH faces $1,832 resistance before aiming for $2,200 and $10,000 targets.
Ethereum price is trading near $1,830 as it approaches a critical resistance zone. This level included the 50-day exponential moving average (EMA) and a descending trendline. The barriers have capped multiple rally attempts since early 2025, creating a test for Ethereum.
If the altcoin price can break this resistance, it may confirm a broader trend reversal. Such a move could open the path to $2,200 and potentially even $10,000, as some analysts have projected.
Ethereum Price Tests 50-Day EMA as Pectra Upgrade Goes Live
Anonymous Crypto Predictions noted that Ethereum price is currently testing the 50-day EMA. This level aligns closely with a descending trendline that has defined price action since March. Breaking this level could confirm a broader trend reversal, setting the stage for a move toward $2,200. The chart showed ETH facing heavy resistance around this zone, rejecting multiple rally attempts.
However, Pectra upgrade, which went live on May 7, added momentum to this bullish outlook. This upgrade is expected to reduce the transaction fees for Layer-2 networks by 30-40%, increasing Ethereum scalability.
The upgrade brings several important new features, such as grouping several actions into one transaction and paying gas fees in ERC-20 tokens. These changes could draw more activity to the network, supporting ETH price growth.
Pectra Upgrade Could Cut L2 Fees by 30-40%
The Pectra upgrade merges the Prague and Electra tracks to improve network efficiency. It increased the data blob capacity from three to nine per block, allowing Layer-2 rollups like Arbitrum and Base to process more transactions at lower fees. This upgrade alone is expected to cut L2 fees by 30-40%, bringing average transaction costs closer to one cent.
Furthermore, the upgrade has incorporated the EIP-7702, which enables multiple actions to be grouped into one transaction paid in gas fees using the ERC 20 tokens. This feature reduces wallet interactions, making Ethereum more accessible for averages and institutional investors.
For stakers, the upgrade increases the maximum possible to cap validators from 32 ETH, resulting in more operational consolidation for large operators and cost reduction.
Ethereum Price Faces $1,832 Resistance
Furthermore, Merlijn The Trader has set a long-term target of $10,000 for Ethereum. He highlighted the $1,500 level as a critical liftoff point. His chart showed the top altcoin price forming a strong base above $1,500, with the next major resistance levels at $2,200 and $4,000.
With improving network fundamentals and growing interest from institutions, a breakout above these levels could create a path to $10,000.
Before higher targets are reached, ETH must first break and hold above $1,832, a zone that has acted as strong resistance due to the 50-day EMA and multi-month trendline. A confirmed breakout could trigger renewed institutional interest and buyer momentum.
This could clear this resistance and attract a wave of new buyers and institutional capital, which would solidify a bullish reversal.
Key Support Levels and Short-Term Outlook for Ethereum
However, Ethereum’s price has downside risks if it cannot pass through these levels even with an intact bullish structure. If true, a rejection at the 50-day EMA could take the rally back to the $1,500 support area.
This level lies near previous accumulation zones and marks the lower boundary of the current range. The zone has been strong support during recent rallies, and a breakdown below it would be the first clear signal of a potential further decline.
Notably, the price of Ethereum seems to be at a crossroads right now. This Pectra upgrade adds a very fundamental boost. However, if ETH price can break the $1,832 resistance and confirm sustainability, this path to $2,200 and then $10,000 becomes more realistic.
Still, if the ETH price does not clear this vital zone, upside potential will likely remain capped until the broader market improves.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
