Ethereum Eyes $2,800 Breakout—Will Bulls or Sellers Take Control?

• Long-term holders face breakeven pressure near the $2,800 resistance zone.
• Active address count remains low despite Ethereum’s recent price recovery.

Ethereum’s price has rebounded sharply recently, approaching a crucial resistance zone near $2,800. Glassnode data shows that $2,800 represents a dense supply cluster where many long-term Ethereum holders bought in. 

These positions were established before the sharp drop from above $3,800 in late 2024 to lows around $1,600 earlier this year. The recovery has brought ETH to these breakeven levels, creating intense resistance pressure.

Analysts warn of increased sell-side activity if Ethereum fails to break this barrier with high volume. Many holders may offload their positions to reduce risk or take profits. 

However, a decisive breakout above $2,800 could flip resistance into support. According to on-chain indicators, this shift could clear the path for further upside.

On-Chain Activity Remains Subdued Despite Price Recovery

Data from CryptoQuant reveals a modest rise in daily active Ethereum addresses. The number stands at around 340,800 as of May 2025. This is a recovery from early-year levels below 300,000 but remains well below the peaks of late 2023 and early 2024.

Historically, increases in active addresses have aligned with major price moves. However, the current recovery is not mirrored by strong network growth. This suggests that existing holders drive the rally rather than new participants.

Analysts view this divergence as a sign of limited market enthusiasm, which could affect sustainability if fresh demand does not emerge.

Price Action Signals Consolidation with Bullish Undertones

At the time of writing, Ethereum is trading at $2,554.97, up 1.11% daily. The cryptocurrency has staged a strong rebound from April lows near $1,600. The current price range between $2,500 and $2,600 indicates consolidation after early May’s rally.

The Relative Strength Index (RSI) is at 63.95, cooling from recent highs above 71. This suggests waning momentum but continued bullish pressure. 

Key support levels are visible at $2,300 and $2,000. If the price retraces, these zones may attract buyers. On the upside, the $2,800 level remains a key bull test.

However, analysts are watching for a volume-backed move above $2,800. If that occurs, it could confirm a bullish continuation. Otherwise, failure to clear this resistance may trigger a pullback to lower supports, mainly if network activity stays flat.