Ethereum ($ETH) Price Prediction for May 23: Bulls Eye $2,745 After Breakout Above $2,500

After a strong breakout above $2,500, the Ethereum price today is trading near $2,667, sustaining bullish momentum despite signs of temporary consolidation. The recent rally has been fueled by a broader shift in sentiment and a clean break above the descending trendline seen on daily and 4-hour charts. With volatility increasing and several indicators signaling overbought conditions, traders are now asking: Why is the Ethereum price going up today, and can the rally extend toward the $2,745 resistance?

The Ethereum price action over the last 72 hours has been decisive. ETH surged from a near-term base around $2,360 to reclaim the $2,600 psychological threshold, triggering a fresh wave of bullish conviction. This move confirms a breakout from the symmetrical triangle observed on the 4-hour chart, with price now holding well above the 50-EMA and upper Bollinger Band, suggesting Ethereum price spikes are not yet exhausted.

The weekly Fibonacci retracement chart places ETH’s current resistance around the 0.5 and 0.618 levels at $2,745 and $2,926 respectively. These zones are crucial for judging upside momentum as the price attempts to recapture its pre-March breakdown levels.

The RSI on the 30-minute chart is hovering just above 65, entering overbought territory but not yet flashing reversal. On higher timeframes, the RSI remains constructive—suggesting that Ethereum price volatility is likely to remain elevated with short-term pullbacks offering re-entry opportunities rather than trend breaks.

Meanwhile, MACD lines on the 30-minute and 4-hour charts show positive divergence with the histogram still printing green, albeit with weakening slope. This indicates that while upside momentum is still intact, a pause or brief correction may occur before further continuation.

The Ichimoku Cloud on the 4-hour chart adds further support to bullish bias, with ETH breaking above the cloud and both conversion and baseline lines positively aligned. The future cloud is also beginning to widen—another indicator of positive sentiment in the near term.

With the daily close now holding above $2,660, the immediate target for bulls lie near the $2,745 level, which coincides with both horizontal resistance and the 0.5 Fibonacci level from the weekly chart. A clear breakout above this zone could expose $2,926 (Fib 0.618) as the next upside target.

On the downside, immediate support is seen at $2,564—a previous breakout level and also the midpoint of the most recent bullish candle cluster. Below that, stronger support sits around $2,500 and $2,368, which align with both the 50-EMA and a key demand zone from mid-May.

In summary, the broader trend remains bullish with temporary consolidation likely. Traders should watch for pullbacks to the $2,564–$2,600 area as potential bounce zones unless macro or market sentiment shifts suddenly.

The Ethereum price update shows a market poised for continuation, but traders should remain cautious of intraday wicks and mean reversions. The recent Ethereum price spikes have positioned ETH to reclaim mid-range Fibonacci levels, but follow-through above $2,745 will be critical.

As of now, the technicals suggest that Ethereum price today remains in a bullish trend, with higher timeframes supporting further upside. However, given rising RSI levels and minor divergences, a retest of the breakout zone should not be ruled out.