Ethereum Price Forecast: What next as ETH retakes $2,400 after US midterms?

Ethereum price today: Can gains extend from $2,430?

• Bullish momentum lifts Ethereum back above $2,400 on Wednesday, with a 6% advance as futures liquidations exceed $240 million.
• Democrats' sweeping US midterm election wins in both the House and Senate precede the rally.
• Holding above the 50-day EMA could put ETH on course to test resistance at $2,548.

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

Control of Congress went to Democrats after they swept the House of Representatives and Senate in Tuesday's midterm elections. They 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 pointed to ending the war 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."

How does Ethereum's rally compare with other risk assets?

Ethereum's post-election advance took it above $2,400 for the first time since 23 October. The breakout triggered $241.29 million in liquidations over the past 24 hours, with short liquidations accounting for $133.75 million, according to Coinglass data. 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's direction.

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

The advance 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: Can ETH test $2,548 resistance by holding the 50-day EMA?

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. Momentum remains supportive, although stretched: the 14-day Relative Strength Index (RSI) is around 55, while the Stochastic Oscillator (Stoch) is entering overbought territory near 85. These readings suggest that gains may lose pace rather than immediately give way to a reversal.

A break above the descending trendline running from 2 October has opened the way for the leading altcoin to test resistance at $2,548, provided it stays above the confluence of the 50-day EMA at $2,411 and the $2,411 horizontal level. Beyond that, resistance lies at $2,636 and $2,781.

Initial downside support lies in the structural band between the 20-day EMA at $2,359 and the horizontal level at $2,355. Below this, the 100-day EMA at $2,346 offers the next support. A deeper retreat would shift attention to the 200-day EMA at $2,323, ahead of more substantial 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.)