As the ETH price fractal approaches its final stages, Ethereum is targeting a 40% rise.

After falling below $2,450 on October 2, the price of Ethereum (ETH) has consolidated within a narrow gap of $100 over the past nine days. While Bitcoin (BTC) saw market volatility, Ether’s weekly returns fell only 1%.

On the weekly chart, Ethereum maintained its bullish position by staying above the 200-day EMA trendline.

Several bullish signals have now been confirmed for the altcoin, which could trigger a positive breakout for the ETH/USD trading pair.

Ether Enters Final Stage of Bullish Fractal

Last month, Cointelegraph reported that Ethereum’s price movements were forming a market fractal, which was first observed in May-June 2021 and March-May 2024. In both cases, altcoins showed strength and now a similar situation could unfold. Over the next few weeks.

relevant: Ethereum price lags Bitcoin and altcoins, but can it rise to $2.6K?

As can be seen in the chart below, Ethereum’s September rise led to the formation of distinct lower highs for stages III and IV of the fractal. Stage V.

The similarities between the two fractals in 2024 are still relevant. In both cases, the price action tested the golden zone, i.e. between 0.618-0.5 Fibonacci lines, in step 3 and the 0.5 FIB in step 5. There is now a similar movement, further strengthening the possibility. Strong breakout.

Over the past week, Ethereum has made identical lows around $2,300, which could be the lowest value for VI. (Final step) However, if it drops to $2,251, the fractal will remain in effect.

The potential bullish exit and target from the previous analysis remain the same: $3,375, or a 40% increase from the current price.

ETH price double bottom vs Bitcoin?

In addition to the fractal formation, the ETH/BTC chart is signaling a bottom, which could potentially change things in favor of the altcoin. Pattern analyst and cryptocurrency market analyst Trader Tardigrade highlights that ETH/BTC may have formed a double bottom on the daily charts.

The formation of a double bottom at the end of a downtrend is considered a sign of a bullish market reversal. If these patterns occur over a longer period of time (i.e. on daily or weekly charts), the odds of success also increase. According to several studies, the success rate of the double bottom pattern is roughly between 75% and 80%.

However, it is important to note that the double bottom underlined by the analyst is incomplete, as the price did not move back to the $0.041 resistance level after forming the same lows (i.e. 1 and 2) on the chart.

Ethereum price falls before bullish breakout

Meanwhile, another market analyst, CryptoBullet, believes that ETH/USDT is likely to fall to $2,085 before a stronger rally takes place. According to analysts:

“Ideally, we could sweep away this month’s lows (August 5 and September 6), complete a triple bottom fractal, and then finally get going.”

From a directional perspective, the next few weeks will be pivotal for the price of ETH, as a drop to $2,085 will completely invalidate the market fractal discussed above.

This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.