Ethereum Price Forecast: ETH reclaims $2,400 after US midterms

Ethereum price today: $2,430

• Ethereum registers a 6% gain on Wednesday, reclaiming $2,400 as futures liquidations climb above $240 million.
• The move follows Democrats' dominance in US midterm elections, with victories in the House and Senate.
• ETH could test the $2,548 resistance if it holds above the 50-day EMA.

Ethereum (ETH) rises 6% on Wednesday, trading above $2,400 as risk assets rallied following Democrats' dominant victory in the US midterm elections and President Donald Trump's reaction to the results.

Democrats won control of Congress, sweeping both the House of Representatives and Senate, while securing victories in gubernatorial races like Texas and Nevada in Tuesday's midterm elections.

President Trump affirmed he's "absolutely willing" to work with Democrats, according to The New York Times.

Vice President JD Vance blamed the Iran war for the results, noting that many voters cited an end to the war and focus on inflation as key reasons for voting Democrats.

"The reason we lost is the war. The president himself said so last night," Vance wrote in a Wednesday X post. "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 rises alongside risk assets

Following the election results, Ethereum broke above $2,400 for the first time since October 23, sparking $241.29 million in liquidations, led by $133.75 million in short liquidations over the past 24 hours, per Coinglass data. The move also saw ETH recapture its realized price, or average on-chain cost basis, a key level that has historically served as support or resistance depending on the market trend.

Broadly, the general crypto market cap jumped by 3%, with futures liquidations over the past 24 hours nearing $1 billion.

Gains spread across risk assets, with the S&P 500 and tech-heavy Nasdaq up 1.88% and 2.17%, respectively, at the time of writing.

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

ETH trades at $2,430 at the time of writing, after rising above the $2,355 resistance and all key long- and short-term Exponential Moving Averages (EMAs). Momentum is supportive but stretched, as the 14-day Relative Strength Index (RSI) sits around 55 and the Stochastic Oscillator (Stoch) pushes into overbought territory near 85, hinting that upside may slow rather than reverse immediately.

The top altcoin broke above a descending trendline extending from Oct 2 and could test the $2,548 resistance if it holds above the 50-day EMA at $2,411 and the $2,411 horizontal level overlap. Further up are the $2,636 and $2,781 hurdles.

On the downside, immediate support is provided by a structural band formed by the 20-day EMA at $2,359 and the horizontal level at $2,355, followed by the 100-day EMA at $2,346. Deeper pullbacks will bring the 200-day EMA at $2,323 into focus before stronger medium-term cushions near $2,250 and $2,204.

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