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According to veteran trader Peter Brandt, ethereum may have seen its brightest future. Brandt, known for his technical forecasts, believes the altcoin is on the verge of a bullish turn.
You have identified an inverted head and shoulders formation on the daily chart of ethereum” rel=”nofollow”>ethereum. This is one of the most classic buy signals in technical analysis. If eth can hold above that neckline at $2,745, we could be looking at a breakout.
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The most interesting graphics developments I see right now
See thread
#1twitter.com/search?q=%24ETH&src=ctag&ref_src=twsrc%5Etfw” rel=”nofollow”>$eth closing price chart inverted H&S pattern
I'm flat on eth pic.twitter.com/OCG0GcTdxF
—Peter Brandt (@PeterLBrandt) twitter.com/PeterLBrandt/status/1848195987262579087?ref_src=twsrc%5Etfw” rel=”nofollow”>October 21, 2024
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But the excitement doesn't end there. IntoTheBlock data shows that the ethereum network is stronger than ever, with over 5 million active addresses on its mainnet and Layer 2 networks.
Although market sentiment is still mixed, this statistic confirms the importance of ethereum in the crypto ecosystem. Although some investors see ethereum's long-term future improving, others are worried about short-term dangers.
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There are now more than 5 million active. twitter.com/search?q=%24ETH&src=ctag&ref_src=twsrc%5Etfw” rel=”nofollow”>$eth addresses on the ethereum mainnet and major L2 networks, outperforming any other Layer 1 asset by a significant margin. pic.twitter.com/W6JaauNvhV
– IntoTheBlock (@intotheblock) twitter.com/intotheblock/status/1848439417330860465?ref_src=twsrc%5Etfw” rel=”nofollow”>October 21, 2024
A long term play
ethereum definitely had its ups and downs. From as low as $10 to almost $4,900 in the past, it is very obvious that eth has gained quite a few believers. And while undertaking such wild journeys can be filled with heartbreaking moments, ethereum never failed to ensure that its core strength lies in the facilitation of smart contracts and decentralized applications in the blockchain space.
However, the cost base of ethereum for many investors has increased as the market has matured. This has made short-term gains more difficult to achieve, leading some traders to approach the market with caution. But for those with a long-term vision, ethereum's ambitious roadmap and track record of overcoming challenges continue to make it an attractive option.
ethereum: the next way
The current price behavior of ethereum has one of the most fascinating technical aspects: its interaction with the Point of Control (POC). Often considered as significant support or resistance, this level could be crucial in deciding the next direction of ethereum.
As eth price approaches this point, it suggests a potential buying opportunity for those taking a long-term view. If the POC holds, ethereum could build a solid foundation for future growth. But a break below this level could signal trouble ahead, so investors should remain cautious.
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Will the bullish reversal continue?
Brandt's bullish forecast gives optimism to eth fans. If ethereum stays above $2,745 and the inverted head and shoulders pattern persists, it could rise significantly.
However, as always, it is essential to consider other market factors: broader trends, technical indicators, and market sentiment all play a role in shaping ethereum's future.
While ethereum has its challenges, it is hard to ignore the potential for a bullish breakout. Whether you're in it for the long haul or watching short-term gains closely, ethereum's next move could be significant.
Featured image by AFP/Finance Magnates, chart by TradingView
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