Technical analysis shows that Ethereum has been trading in an ascending channel pattern with mainly consecutive highs and lows since July 2023. As it stands, recent market movements have caused Ethereum to retest the lower trendline of this ascending channel, which could determine its performance in the coming months.
The current ascending channel offers a promising outlook, with the price target predicting an increase towards the upper end of the channel around $6,000. However, to utilize Ethereum Riding this updraftbulls should vigorously defend the bottom trend line against bearish pressure.
It is important to maintain this level of support
At the time of writing, Ethereum is trading at around $2,470, down about 6.2% over the past 24 hours. Notably, this decline brings Ethereum closer to an important lower trend line. This recent decline also caught the attention of cryptocurrency analyst Ali Martinez. highlighted The importance of the $2,400 support level as an important zone to monitor going forward.
Martinez emphasizes that Ethereum’s current position at $2,400 is a major support area within the ascending channel. If this level holds, it could act as a fundamental price floor and allow Ethereum to rebound and continue forming higher highs along a bullish trajectory.
Martinez predicts that if there is enough support at $2,400, Ethereum could rally towards the $6,000 target. Such a move would signal a breakout of the current Ethereum all-time high and a 150% rise from the current support zone, entering a strong bullish phase if the bulls manage to defend this key level. It will be a signal.
However, if Ethereum’s bull market fails to sustain above this level, it could lead to further decline. In such a scenario, Martinez suggests setting a stop loss between $2,300 and $2,150 to maintain a favorable risk-to-reward ratio.
Ethereum looks ready
In another technical analysis of Ethereum price trends, crypto analyst Javon Marks highlighted that Ethereum: Looks like it's ready now For the long-awaited rally. Marks identified key bullish targets at $4,000, $4,811, and $8,400, indicating potential gains of 61%, 94%, and 240% from Ethereum’s current price.
Achieving these milestones could not only push up the price of Ethereum, but also cause a rally in other altcoins, essentially activating the altcoin stage of this market cycle.
Ethereum’s progress towards these ambitious price levels and its Ability to challenge Bitcoin Market power will be closely related to the activities of large investors, often referred to as whales.
Recent data from on-chain analytics platform Santiment A significant increase was revealed Ethereum whale activity reached a six-week high on Friday. This surge in activity is due to large holders Started accumulating Ethereumthis could provide a strong basis for expected price increases.
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