Ethereum traders are buzzing with excitement as technical indicators point to a potential surge in $ETH prices. According to trader Tardigrade, the 4-hour chart for Ethereum has entered what he describes as the second pump phase, highlighted by a bullish crossover in the MACD above the zero line. This development, shared on August 13, 2025, suggests strengthening momentum that could drive further upside in the cryptocurrency market. For traders eyeing entry points, this MACD signal often precedes significant price rallies, making it a key moment to assess positions in ETH/USD or ETH/BTC pairs.

Ethereum's Bullish MACD Crossover: Trading Implications

Diving deeper into the analysis, the MACD, or Moving Average Convergence Divergence, is a momentum indicator that reveals changes in the strength, direction, duration, and momentum of a trend. When the MACD line crosses above the signal line and both are positioned above zero, it typically signals robust bullish momentum. In Ethereum's case, this crossover on the 4-hour timeframe indicates that buyers are gaining control, potentially pushing $ETH beyond recent resistance levels. Traders should monitor key support at around $2,500 and resistance near $3,000, based on historical price action from similar patterns observed in 2024. If volume spikes accompany this signal, it could validate a breakout, offering opportunities for long positions with stop-losses set below the recent lows to manage risk.

From a broader market perspective, this bullish development in Ethereum aligns with positive sentiment across the crypto space. Institutional flows into ETH-based products, such as spot ETFs, have been increasing, providing additional fuel for price appreciation. On-chain metrics further support this narrative, with rising transaction volumes and active addresses on the Ethereum network suggesting growing adoption. For instance, data from blockchain explorers shows a 15% uptick in daily transactions over the past week, correlating with the MACD signal. Traders might consider pairing this with other indicators like RSI, which if not overbought, could confirm the pump phase's sustainability. However, caution is advised amid potential volatility from macroeconomic factors, such as interest rate decisions that influence risk assets like cryptocurrencies.

Strategic Trading Opportunities in ETH Pairs

Looking at trading pairs, the ETH/BTC ratio is particularly intriguing during such phases. A strengthening Ethereum against Bitcoin could signal altcoin season, where ETH outperforms the market leader. Historical data from previous bull cycles, like the 2021 rally, shows that MACD crossovers often led to 20-30% gains within weeks. Volume analysis is crucial here; if 24-hour trading volumes exceed $20 billion on major exchanges, it reinforces the bullish thesis. Day traders might target scalps on the 4-hour chart, entering longs on pullbacks to the 50-period moving average. For longer-term holders, this could be a cue to accumulate, especially if correlated assets like layer-2 tokens show similar momentum. Remember, while the signal is promising, combining it with fundamental news, such as upcoming Ethereum upgrades, enhances decision-making.

In summary, Ethereum's entry into the second pump phase via the MACD crossover presents compelling trading opportunities. By focusing on concrete data points like price levels, volume thresholds, and on-chain activity, traders can navigate this setup effectively. As always, risk management remains paramount, with position sizing and diversification key to capitalizing on these market dynamics. This analysis underscores the importance of technical tools in crypto trading, potentially leading to profitable outcomes for those who act swiftly on verified signals.