Ethereum (ETH) is currently experiencing its biggest weekly gain since May 2024. While BTC’s momentum stalled in the past 24 hours, ETH price reached a quarterly high of $2,956, with fresh price action pushing the ETH/ETH price up 6%. BTC chart.
With Ethereum briefly outperforming Bitcoin (BTC) for the first time in months, the altcoin-BTC pair has captured the market’s attention as a potential trend reversal.
Ethereum has broken a 161-day bearish trend.
The pivotal daily breakout on the Ether daily chart is one of the main reasons for the renewed interest in the ETH/BTC trend.
As you can see in the chart, Ethereum broke the 161-day downtrend line on November 6, sparking positive market sentiment. The bearish trend has been active since May 2024, and ETH’s move above the bearish resistance pattern signals a change in momentum for bullish investors.
With Bitcoin hitting new all-time highs and ETH/BTC charts rebounding from 2021 levels, independent cryptocurrency trader Marzell highlights that ETH/BTC is currently “representing the best buying opportunity for ETH in 4 years!” I did it.
ETH/BTC closes above the 50-day SMA each day.
Cryptocurrency technical analyst Benjamin Cowen, amid growing initial optimism, pointed out that for the ETH/BTC trend to bottom, the trading pair would need to close its daily positions above the 50-day simple moving average (SMA) indicator.
As you can see from the chart, ETH/BTC maintained its 50-day SMA for most of 2024 and briefly hovered above the indicator in the first quarter. If the daily close exceeds 0.04, a structural collapse (BOS) could occur, potentially triggering a market reversal on the ETH/BTC chart.
Meanwhile, Freddie, an anonymous market analyst, stood calmly and said:
“Every single ETHBTC pump above 5% is a regional high this year (excluding August).”
Related: Why Is Ethereum (ETH) Price Up Today?
TOTAL3 hit major resistance from ETH and ETHBTC.
Technical analyst CryptoChille observed that the daily charts of ETH, ETHBTC, and TOTAL3 are uniformly testing key resistance levels. TOTAL3 market cap is a pivotal chart for other altcoins as it represents all cryptocurrency assets except Bitcoin and Ethereum.
ETH + ETHBTC
A major resistance level has been reached on the daily chart. A breakdown of this resistance could increase the chances of a strong uptrend.
This could also trigger a breakout of total3 major resistance, which could trigger a sharp rally for the altcoin as well. pic.twitter.com/cpiUJP0VTT
— ⓑ (@CryptoChille) November 7, 2024
From a technical perspective, the ETH/BTC trading pair shows significant monthly bullish divergence. As the Relative Strength Index and Stochastic RSI reverse from oversold areas, the odds of a sustained upward trend based on past results increase.
Related: Ethereum Holder Turns $38,000 into $30 Million After 8 Years
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.