Ethereum Next Move: Break $2,700 or Fall Back?
TLDR
Ethereum (ETH) reclaims $2,500 support, up 8.6% in 7 days $2,700 next critical resistance level for ETH Analysts predict ETH may reach $3,500 if ETH/BTC chart breaks Altcoins are currently cheap relative to Bitcoin Ethereum is trying to break From the 3-month balanced triangle pattern
Ethereum, the second largest by market capitalization, has performed strongly in recent days, regaining the $2,500 support zone and moving towards the $2,700 resistance level.
This price action has caught the attention of market analysts, who are closely monitoring the potential signal.
Last week, Ethereum rose from the $2,300-$2,400 range to around $2,600, an 8.6% increase in price.
The cryptocurrency has successfully tested the $2,600 level, which it now holds as support while trying to climb higher.
The $2,700 price range represents a major hurdle for Ethereum, as it has failed to break above this level in three months.
According to market analyst Crypto Wolf, ETH has been rejected twice from this local high since the August market crash, making it a critical resistance to overcome.
Some analysts are optimistic about Ethereum's prospects if it can clear this resistance. CryptoWolf suggests that once the $2,700 zone is breached, the price of ETH could head straight to the 3500s, with the $3,000 mark likely to offer little resistance.
Once the previous domestic high around the 2700s is cleared, we are heading straight for the 3500s. In my opinion, the 3k resistance does not stand a chance. $ETH pic.twitter.com/UMnJnuV6j1
– Wolf
(@IamCryptoWolf) October 14, 2024
Similarly, crypto analyst Alex Clay believes that Ethereum is ready to “catch BTC” and may rise to $3,500.
The ETH/BTC chart has also caught the attention of market watchers. Tony Research This chart shows that altcoins are currently cheaper relative to Bitcoin.
An increase in this ratio can positively affect the prices of altcoins, including Ethereum. Historically, the fourth quarter is Bitcoin's strongest period, which could set the altcoin's peak growth rate in the first quarter of 2025.
Ethereum price action is creating interesting patterns for traders to watch. Analyst Crypto Yapr has identified a three-month symmetrical triangle pattern, from which Ethereum is trying to break out.
On Tuesday, ETH briefly rose above the trend highs in this formation, reaching $2,688 before pulling back to $2,550. Another breakout attempt occurred on Wednesday, with the price breaking above $2,630 before settling around the $2,600 support zone.
#ETH to earn $BTC and raise up to $3500
Imo $ETH is a local stock and is ready to reverse the short term trend to bullish.
pic.twitter.com/rePkC4tqHD
— Alex Clay (@cryptclay) October 16, 2024
If Ethereum successfully breaks out of this symmetrical triangle formation, Crypto Yapper suggests that the next target could be the $2,900 mark.
The $2,900-$3,000 range served as a key support zone during the early stages of the rally earlier this year, so regaining this level could pave the way for ETH to revisit its March highs.
Adding to the technical analysis, seasoned trader Peter Brandt recently highlighted an inverted Head and Shoulders (H&S) pattern on the Ethereum chart.
This pattern is often interpreted as a bearish signal, suggesting that a significant breakout may be on the horizon.
According to the latest data, Ethereum is trading at $2,612, which represents an increase of 1% in the daily time frame. The cryptocurrency's recent trading range continues to test the upper limits, with market participants looking forward to signs of decisive action.
The post Ethereum Next Move: Breaking $2,700 or Falling Back? Originally Posted by Blockonomi.
