ETH faces resistance at $2,750 following Protocol launch

Ethereum price today: $2,600

• The Ethereum Foundation rebrands its PR&D team to Protocol to scale its L1, boost blob spaces, and improve user experience.
• The EF would be laying off some of its staff as part of the rebranding and restructuring.
• ETH experienced a rejection at a key rising trendline resistance despite bullish signs in its technical indicators.

Ethereum (ETH) traded around $2,600 on Tuesday after announcing the launch of Protocol, a project aimed at scaling its Layer 1, expanding Blobspace, and improving the user experience (UX).

Ethereum Foundation launches Protocol following a restructuring

The Ethereum Foundation announced it would be restructuring and rebranding its Protocol Research & Development team to “Protocol.”

In a blog post on Monday, the EF stated that it needs to re-evaluate its current process of “shipping protocol,” which it termed “messy” and needs a proactive response “to demands that are hard to articulate and even harder to fulfill.”

To maximize what it touts as Ethereum’s best chance at “planetary scale,” the EF is reorganizing the Protocol team to execute three key goals over the next 12 months, including scaling the L1, scaling blobs to boost data availability (DA), and enhancing the user experience (UX). Each of these goals will be spearheaded by teams led by Tim Beiko and Ansgar Dietrichs, Alex Stokes and Francesco D’Amato, and Barnabé Monnot and Josh Rudolf, respectively. Ethereum researcher Dankrad Feist will support the three groups and their leaders, serving as a strategic advisor.

“The changes we’re announcing today are a departure from our previous ways of working, but we feel these set us on a more responsive and effective path,” the EF stated.

The EF would be laying off some members of the previous PR&D team following the restructuring to make Protocol “a leaner organization” with teams that have “tighter collaboration and feedback loops.”

The development is part of a broader restructuring at the EF following the assumption of the role of co-executive directors by Hsiao-Wei Wang and Tomasz Stanczak. Sentiments around the EF have shifted positively since the restructuring, particularly after the successful launch of Ethereum’s Pectra upgrade last month.

Meanwhile, US spot Ethereum ETFs recorded $78.17 million in net inflows on Monday, stretching their streak to 11 consecutive days.

Ethereum Price Forecast: ETH sees rejection at rising trendline as technical indicators flip bullish

Ethereum experienced $20.8 million and $24.9 million liquidated long and short positions, bringing its total futures liquidations in the past 24 hours to $45.7 million, according to Coinglass data. 

ETH jumped nearly 7% on Tuesday, rising from a brief decline toward $2,475 before it saw a rejection at a rising trendline resistance extending from May 18. ETH needs to break and hold this resistance as support to tackle the key range from $2,750 to $2,850.

ETH/USDT 8-hour chart

On the downside, the top altcoin could find support near $2,450, with the 100-period Simple Moving Average (SMA) as a dynamic support right below it. If these levels fail, ETH’s historically high demand zone near $2,250 could prevent a further decline.

The Relative Strength Index (RSI), Stochastic Oscillator (Stoch) and Moving Average Convergence Divergence (MACD) are above their neutral levels, indicating dominant bullish momentum.