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Following the recent market performance, ethereum (eth) attempted to break out of a bullish formation. Some analysts believe the cryptocurrency is preparing to catch up with bitcoin and aim for March highs.
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ethereum prepares to challenge btc
This week, ethereum has successfully reclaimed the $2,500 support zone following the recent market performance. The second-largest cryptocurrency by market cap has seen an 8.6% rise over the past seven days, moving from the $2,300-$2,400 range to the $2,600 mark.
In the last 24 hours, eth has retested the $2,600 resistance level, currently holding it as support as it attempts to regain the $2,700 price range. This zone is the next crucial level, as the cryptocurrency has failed to break above it in almost three months.
Market analyst CryptoWolf noted that ethereum has been x.com/IamCryptoWolf/status/1845943540054216795″ target=”_blank” rel=”nofollow”>refused from the local high around this level twice since the market crash in August, making it the next major resistance to break.
However, once the zone is cleared, eth price is “heading straight to $3,500,” as the analyst believes the $3,000 mark “won’t stand a chance.” Similarly, cryptanalyst Alex Clay x.com/cryptclay/status/1846536667210879316″ target=”_blank” rel=”nofollow”>suggested that the King of Altcoins is about to “catch up with btc” and rise towards $3,500.
For the analyst, ethereum completed its local accumulation within the $2,100-$2,700 range, and “is ready to change the short-term trend towards bullish.” Other market observers also suggested that the market is near the bottom after the sideways moves, based on the eth/btc chart.
tony investigation x.com/TonyResearch_/status/1846184909481586984″ target=”_blank” rel=”nofollow”>fixed that the chart “suggests that altcoins are currently cheap relative to bitcoin. An increase in this chart will positively affect altcoins and their prices.” As the investor noted, altcoins could see significant growth during the first quarter of 2025, as fourth quarters have historically been the best time for bitcoin to grow.
eth tries to break bullish pattern
crypto Yapper Analyst x.com/CryptoYapper/status/1846528266984886744″ target=”_blank” rel=”nofollow”>noted that ethereum is trying to break out of its consolidated formation. The cryptocurrency has been within a three-month symmetrical triangle pattern and attempted to break above the upper trend line on Tuesday.
Yesterday, eth momentarily rose above the trend line after reaching $2,688, but quickly retreated to $2,550. ethereum attempted another breakout from the upper trendline of the symmetrical triangle on Wednesday, surpassing $2,630 before settling around the $2,600 support zone.
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For the analyst, ethereum will target the $2,900 mark next if it breaks this formation. Reclaiming this level could push eth price back to its March highs as the $2,900 to $3,000 price range was a key support zone during the first leg of the rally.
Meanwhile, seasonal trader Peter Brandt recently highlighted an inverted head and shoulders (H&S) pattern on the eth chart. The trader noted that a bottom is forming on the head and shoulders chart, also suggesting that a massive breakout could be imminent.
At the time of writing, eth is trading at $2,612, up 1% on the daily time frame.
Featured image from Unsplash.com, chart from TradingView.com
