Ethereum Price Forecast: ETH recovers above $2,400 following US midterms

Ethereum trades at $2,430 today

• A 6% rise on Wednesday takes Ethereum back above $2,400, while futures liquidations exceed $240 million.
• Democratic victories in both the House and Senate in the US midterm elections precede the advance.
• Holding above the 50-day EMA could allow ETH to challenge resistance at $2,548.

A 6% advance on Wednesday lifts Ethereum (ETH) above $2,400, alongside a rally in risk assets following the Democrats' decisive US midterm election victory and President Donald Trump's response to the outcome.

Tuesday's midterm elections handed Democrats control of Congress through wins in both the House of Representatives and Senate. The party also won gubernatorial contests in states including Texas and Nevada.

According to The New York Times, President Trump said he was "absolutely willing" to work with Democrats.

Attributing the outcome to the Iran war, Vice President JD Vance noted that many voters had cited ending the conflict and focusing on inflation as key reasons for backing Democrats.

"The reason we lost is the war. The president himself said so last night," Vance wrote in an X post on Wednesday. "If you'd like to argue it was worth it, that losing the Senate for the next 6 years was worth it, then do so. Argue it was a worthwhile cost to pay. Agree or disagree, that's at least honest."

Ethereum joins broader advance in risk assets

Coinglass data show $241.29 million in liquidations over the past 24 hours, led by $133.75 million in short liquidations, as Ethereum's post-election advance took it above $2,400 for the first time since 23 October. ETH also regained its realised price, the average on-chain cost basis. Historically, this key level has acted as either support or resistance, depending on the market trend.

Across the wider cryptocurrency market, total market capitalisation rose 3%, while futures liquidations approached $1 billion over the past 24 hours.

The rally extended to other risk assets. At the time of writing, the S&P 500 had gained 1.88%, while the technology-heavy Nasdaq was up 2.17%.

Ethereum technical outlook: ETH eyes $2,548 resistance if 50-day EMA holds

Having cleared resistance at $2,355 and all key short- and long-term Exponential Moving Averages (EMAs), ETH stands at $2,430 at the time of writing. Although momentum remains supportive, it is becoming stretched: the 14-day Relative Strength Index (RSI) is around 55, while the Stochastic Oscillator (Stoch) is entering overbought territory near 85. This suggests gains may lose pace rather than give way to an immediate reversal.

A break above the descending trendline extending from 2 October leaves the leading altcoin positioned for a possible test of $2,548 resistance, provided it stays above the confluence of the 50-day EMA at $2,411 and horizontal support at $2,411. Beyond that, further barriers stand at $2,636 and $2,781.

Initial downside support lies in the structural zone between the 20-day EMA at $2,359 and the horizontal level at $2,355, with the 100-day EMA at $2,346 next. A more pronounced retreat would put the 200-day EMA at $2,323 in focus, ahead of stronger medium-term support near $2,250 and $2,204.

(The technical analysis of this story was written with the help of an AI tool. Know more.)