After several weeks of consolidation, Ethereum (ETH) appears to be on the rise, trading in the $3,200 to $3,500 range. With bullish technical indicators on ETH chart strengthening Fundamentals suggest significant upside potential for the second-largest cryptocurrency by market capitalization.
Is Ethereum aiming for the $4,000 target?
In the past month, Ethereum has attempted to break the important $4,000 resistance level twice, but failed both times. Between December 16 and December 19, ETH experienced a sharp decline, falling from $4,000 to $3,100. This is a drop of more than 20% in three days.
Since December 19, ETH has fluctuated between $3,200 and $3,500, raising concerns about a possible decline below the $3,000 level. However, ETH is showing signs of a resurgence by breaking out of its symmetrical triangle pattern, with $4,000 emerging as the first major resistance level to overcome today.
Cold Blooded Shiller, cryptocurrency trader and analyst famous Ethereum’s weekly relative strength index (RSI) reset could provide the momentum needed to push ETH above $4,000. The analyst added that he plans to increase his spot holdings if ETH exceeds $3,500.
Initially, a weekly RSI reset occurs when RSI, a momentum indicator, moves back from overbought or oversold levels into neutral territory, which usually indicates a potential trend reversal or consolidation is underway. In the context of Ethereum, this reset could signal reduced selling pressure and an opportunity for a rebound.
Seasoned cryptocurrency trader TraderSZ expressed similar sentiments. In a post on
Another prominent cryptocurrency analyst known as Inmortal weighed in on Ethereum’s potential price trajectory. In the analysis, Inmortal compared the current ETH price movement to Q1 2024, highlighting the similarities between the two periods.
The following chart shows that January is often an accumulation phase, while February and March tend to experience parabolic price movements. If ETH follows a similar pattern in 2025, the target could be $5,300.
Will Ethereum’s Rise Trigger an Altseason?
While Bitcoin (BTC) saw an unprecedented price surge in 2024, briefly reaching six-digit territory, Ethereum is yet to experience a similar explosive growth. ETH’s current all-time high (ATH) dates back to November 2021. underline ETH lagged behind BTC during this cycle.
However, according to recent market trends, ETH is finally It is strengthening its position on BTC, as evidenced by the steadily increasing ETH/BTC ratio. Additionally, Bitcoin dominance appears. posed It forms a lower high on the weekly chart and then declines.
This change could pave the way for the much-anticipated alt season, giving ETH and other altcoins a boost. At press time, ETH is trading at $3,576, up 3.2% in the last 24 hours.
Featured image from Unsplash.com, X and chart from TradingView.com