Buying ETHUSD targeting $4,790 as price eyes upper channel breakout

The ETHUSD pair is consolidating within a defined flat channel, bounded by an upper resistance near $5,000 and a lower support at $4,000. This pattern reflects a period of market equilibrium after a phase of significant upward movement. Right now, the price is trading near the midpoint of this range, which underscores a balance between buying and selling pressure.

Technical indicators on the daily chart reinforce this idea of consolidation. The RSI (14) is holding steady at a neutral reading of 52, showing no major swings and suggesting a notable lack of emotional trading. This stability points to a sustained balance among market players. Similarly, the On-Balance Volume (OBV) indicator exhibits range-bound behavior, fluctuating without a clear directional bias, which is typical of a sideways trend.

Derivative analysis reveals strong support has been established near $4,300. Traders generally don't predict a major market fall, as evidenced by the modest growth in short positions. This formation could serve as a platform for the price to rally towards the channel's upper boundary.

The fact that ETH reserves on centralized exchanges are consistently falling, as participants move assets into long-term storage, confirms investor expectations of future price hikes.

The market is currently awaiting a catalyst for upward momentum, while remaining cautious due to macroeconomic uncertainty stemming from a potential US economic slowdown and anticipated Federal Reserve interest rate decisions. A recent two-day outflow of $300 million from ETH ETFs, representing 1.3% of total assets, reflects partial profit-taking by some investors. Still, it does not signal a widespread exit from the crypto.

Given technical and fundamental context, the prevailing view is for the consolidation to continue, with the price potentially hitting the channel's upper limit.

In the medium term, it is a good idea to buy ETHUSD at the current price ($4,370). Take profit is placed at $4,790, while Stop loss is set at $4,150.

This forecast is relevant from September 4 till September 11, 2025.