Amid the recent market recovery, Ethereum (ETH) is retesting a key level as support for the first time in a week, leading some market watchers to suggest that the highly anticipated end-of-year run may be delayed for a few more weeks. Related Reading: Trump Media Takes $55M Hit As Bitcoin Holdings Surge In Value Ethereum Eyes Next Key Level On Monday, Ethereum retested a crucial level after reclaiming it during the Sunday rebound. The cryptocurrency has been trading within the $3,100-$3,500 range after last week’s market shakeout, briefly hitting a four-month low of $3,057. Over the weekend, the King of Altcoins reclaimed the $3,400 resistance and soared approximately 7% to the $3,650 level, stabilizing around the $3,500-$3,550 area as the new week started. Daan Crypto Trades noted that the current levels are a crucial area to hold in the short term, explaining that “If the bulls can make that happen, we can start looking to fill up some of that inefficiency that was created during the big flush recently.” Nonetheless, Ali Martinez highlighted that over 869,000 ETH were accumulated around the $3,700 level, forming a major resistance wall in the cryptocurrency’s path to the $4,000 psychological barrier. Martinez also pointed out that the number of mega-whale addresses holding more than 10,000 ETH dropped by nearly two dozen in the past week. Per CoinGlass data shared by the analyst, 23 of the largest Ethereum whales sold or redistributed their holdings between November 4 and November 8. Despite this, large-scale investors continued to bet on the King of Altcoin during the market sell-off. Tom Lee, CEO of BitMine, affirmed that “the recent dip in ETH prices presented an attractive opportunity” to purchase the cryptocurrency. As a result, the company bought 110,288 ETH, worth $400 million, last week, increasing its holdings to 3,505,723 million tokens, or 2.9% of ETH’s total supply. ETH’s Q4 Rally Delayed? Despite the recent recovery, Ted Pillows suggested that Ethereum might not run to new highs this month, arguing that, just like Bitcoin, “Ethereum isn’t showing any correlation with M2 supply.” The analyst explained that this often happens when US liquidity growth is hindered. Based on this, he considers that the second-largest cryptocurrency by market capitalization could consolidate throughout the rest of the month “before taking off in Dec 2025/Jan 2026.” Similarly, analyst Crypto Wolf believes ETH will likely “print a clear higher low” near $3,400-$3,500 this month as “only after that can we realistically target new ATHs into December.” The market watcher highlighted that $3,100 is the next major support zone after the recent shakeout. If this level holds in the higher timeframes, ETH could build a base to retest the recent highs. However, losing this crucial area would be “how the bear market begins.” Related Reading: Dogecoin Price Could See 4,440% Rally To $5 If This Macro Cycle Repeats Meanwhile, analyst Cas Abbé noted that ETH’s recent performance resembles its Q2 price action. At the time, the altcoin briefly broke below its multi-month consolidation range before recovering and rallying 100% to new highs in the next two months. If history repeats itself, Ethereum could be preparing to retest the $3,700-$3,800 resistance soon and potentially record a massive rally by the end of the year. Featured Image from Unsplash.com, Chart from TradingView.com
As the market volatility continues, Ethereum (ETH) has dropped 3.1% in the daily timeframe and is attempting to hold a key price area as support once again. Despite the dip, some analysts have suggested that the King of Altcoin is set to start a new expansion phase soon. Related Reading: Bitcoin (BTC) ‘Uptober’ Rally On Pause Until This Level Is Reclaimed Ethereum Retests Major Support Zone On Wednesday, Ethereum fell below the $4,000 level for the third time this week, retesting a crucial area before bouncing. The cryptocurrency has been trading within the $3,800-$4,800 price range in the daily timeframe since the early August breakout. During the recent market correction, ETH briefly lost its local range, reaching a two-month low of $3,435 last Friday. Nonetheless, the price quickly bounced from the lows, reclaiming the $4,000 area over the weekend. Since then, the King of Altcoins has been hovering around the lows, attempting to reclaim the range’s mid-zone but ultimately failing. As the price retested the $3,900 area, Daan Crypto Trades noted that Ethereum has been able to maintain daily closes above the $4,100 area despite this week’s volatility, suggesting that a recovery of this level is still possible today. Nonetheless, failing to hold this area in the daily timeframe could propel a drop to the $3,800 support and risk a potential dip to the $3,400 mark. The trader also warned that the cryptocurrency must also hold the $4,100 region on the weekly timeframe to maintain its current structure and target a climb to the range highs around $4,800. He affirmed that “the real fun starts if this can trade and close above $5K. Until then, we’re range-bound within those two levels.” Similarly, Ali Martinez highlighted that ETH could see a 28%-53% rally based on Ethereum’s MVRV Extreme Deviation Pricing Bands. According to the analyst, if the price holds the $3,900 level, which is a major support, “the Pricing Bands point to a move toward $5,000 or even $6,000.” Is A Repeat Of ETH’s 2021 Playbook Coming? Other market watchers have also shared a positive long-term outlook for ETH, suggesting that investors shouldn’t worry about the recent price pullbacks. Analyst Crypto Jelle pointed out the 18-month descending broadening wedge formation on Ethereum’s chart, which was broken out of during the Q3 rally. Jelle noted that the cryptocurrency is “just holding the breakout area as support,” consolidating between the breakout area and the last cycle’s ATH. To the analyst, ETH looks “very ready for a rapid expansion higher” once it breaks out of the accumulation range. Meanwhile, Crypto Kaleo emphasized the structural similarities between the beginning of the last bull market’s breakout and Ethereum’s current price action. Per the chart, the King of Altcoins traded within a two-year range during the previous cycle, retesting the range’s resistance twice and briefly deviating below the range’s low before breaking out. Related Reading: Chinese Investment Bank Eyes $600 Million Raise For BNB Treasury Company Then, ETH saw a multi-month accumulation period above the breakout level before continuing its rally toward new highs. Kaleo’s post highlighted that the cryptocurrency appears to be repeating a similar playbook, currently consolidating before potentially resuming its run toward higher targets in the next few months. As of this writing, ETH is trading at $4,001, a 11.3% decline in the weekly timeframe. Featured Image from Unsplash.com, Chart from TradingView.com
As the crypto market continues to struggle, Ethereum (ETH) is attempting to hold a crucial zone as support to resume its bullish rally. However, some analysts suggest that the cryptocurrency will see another choppy September before the long-awaited Q4 run. Related Reading: Ethereum Demand Stays Strong As Exchange Reserves Keep Falling – Details Ethereum Party To Be Delayed? Amid the recent market correction, Ethereum closed August around the $4,390 area, recording its highest monthly close since November 2021. The end-of-month market pullback sent the King of Altcoins’ price to the $4,250 area before bouncing, a 14% drop from its recent all-time high (ATH) of $4,956. The cryptocurrency began the new month attempting to reclaim the $4,500 level as support for the third consecutive day, but failed to hold this crucial area, dropping below its monthly opening. Market watcher Cipher X highlighted that ETH has historically seen mixed performances throughout September, with more red than green price action and an average negative monthly return of 6.1%. According to CoinGlass data, Ethereum has seen double-digit negative returns five times since 2016, losing 21.65% in 2017. Meanwhile, it has only recorded a positive return in the double-digits once, with a 14.53% performance in 2016. Nonetheless, the market watcher noted that if the altcoin’s performance stumbles this month, “history suggests the real rebound could come right after.” Notably, October and November have historically been green months for ETH, with an average return of 4.7% and 7.8%, respectively. “September might be choppy but the months that follow have usually been much friendlier to ETH,” the analyst affirmed. Similarly, Bitfinex suggested that “September could mark the cyclical low point before structural drivers reassert for a Q4 recovery.” In a Monday report, the crypto exchange explained that they expect the broader market pullback to conclude relatively soon, adding that, despite the recent sell-off, institutional accumulation of ETH remains robust, while only 18.3 million ETH currently sit on exchanges. ETH Q4 Take Off Eyes New Highs Michaël van de Poppe underscored ETH’s performance, affirming that Ethereum is “on its way toward a beautiful spot to accumulate before Q4 is ready to take off.” According to the analyst, the cryptocurrency could see a 10%-20% correction this month to the $3,900-$3,400 range, which served as an accumulation zone before the August breakout. Daan Crypto Trades highlighted that ETH has been hovering between $4,300-$4,500 over the past week, consolidating in the mid-zone of its local range. The analyst warned that the lack of momentum at the start of the month could see the cryptocurrency retest the range lows, where the 200-Day Moving Average (MA) and Exponential Moving Average (EMA) are situated in the 4-hour chart. However, he noted that breaking out and consolidating above the local range would lead to higher levels and into its price discovery phase. Related Reading: Dogecoin Price Risks Crash Below $0.1, But Can Bulls Facilitate This 800% Rally To $1.82 First? Meanwhile, market watcher Merlijn The Trader affirmed that Ethereum has entered the expansion phase as the $4,000-$4,100 zone has been retested as support throughout the recent pullbacks. Per the post, the multi-year trendline has been turned from resistance into a launchpad that will propel the cryptocurrency’s price to the $7,000 level once the breakout begins. As of this writing, Ethereum is trading at $4,268, a 4% decline in the daily timeframe. Featured Image from Unsplash.com, Chart from TradingView.com
Ethereum (ETH) is attempting to reclaim a crucial area as price nears its 2021 all-time high (ATH). However, an analyst suggested that this week’s performance will be key for the long-awaited price discovery rally. Related Reading: SUI Set Up For Another Leg? Analyst Forecasts $10 Target For Potential Breakout Ethereum Eyes Last Major Resistance Over the past week, Ethereum has had a remarkable performance, jumping nearly 30% to a multi-year high of $4,750 on Wednesday afternoon, just 3.3% away from its ATH of $4,848, recorded in November 2021. Notably, the King of Altcoins has seen a 40% recovery from the start-of-month pullback, finally breaking from its local range and reclaiming the crucial $4,000 barrier last Friday. Since then, ETH has continued to soar, reclaiming the $4,400-$4,500 area on Tuesday. The cryptocurrency has been hovering between $4,600-$4,750 throughout the day, while attempting to break out of this range to potentially tackle “the final boss” of resistance around the $4,800 area. Analyst Rekt Capital discussed ETH’s recent performance, highlighting that it had successfully broken out of its multi-year resistance and turned it into support after its post-breakout retest at the start of the month, which has enabled the current move to the final Macro Range, between $3,762 and $4,631, that could precede new highs. However, he noted that the altcoin’s price “historically upside wicked beyond this final major Weekly/Monthly resistance for 3 straight weeks in a row” last cycle. As the analyst explained, in late 2021, Ethereum was rejected from the $4,631 resistance after hitting its ATH and attempting to turn it into support in the weekly timeframe, which was followed by an 80% retracement. This suggests that “how ETH treats $4,631 over the coming days will be pivotal” for the cryptocurrency’s upcoming performance, as it could potentially hit a new ATH but get ultimately rejected. Therefore, weekly closing above the Macro Range breakout level is crucial to “go against the grain of history.” Is A Rejection Next? Holding the $4,630 mark on the first attempt “would be a huge signal of strength,” the analyst asserted, but warned that “more often than not, price tends to get rejected but in a shallower manner.” If Ethereum fails to reclaim this level, the King of Altcoins could see an 18% drop to the Macro Range lows, around the $3,762 support, which would fulfill a key recently opened CME Gap on ETH’s chart. The Weekly CME gap, created this week, sits between the $4,091-$4,261 area, leading Rekt Capital to suggest that a more volatile retest of the CME gap could briefly send the price to the Macro Range lows. Meanwhile, if Ethereum reclaims the final major weekly resistance as support, ETH’s price discovery rally above the $5,000 mark will be next. Related Reading: ZORA Hits New ATH Amid 50% Daily Surge – What’s Behind The Breakout? Notably, Ali Martinez suggested that once the $4,800 barrier is turned into support, the cryptocurrency will be poised for a rally to the $5,200 and $6,400 levels, according to the MVRV Extreme Deviation Pricing Bands. As of this writing, Ethereum is trading at $4,748, a 56% increase in the monthly timeframe. Featured Image from Unsplash.com, Chart from TradingView.com