Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has once again faced a decline in its price. Despite a recent attempt at a bullish trend last week, Ethereum has dropped by 2.4% in the past 24 hours, currently trading at $3,577.
This decrease has brought Ethereum down by 26.8% from its all-time high of $4,878, which was reached in November 2021. However, the network continues to see strong daily trading volume, with transactions totaling $42.4 billion. This is a notable increase from the previous month when volumes had fallen below $35 billion.
While the current price trajectory of Ethereum may seem discouraging, there is optimism among analysts in the cryptocurrency community regarding its long-term potential. Various technical indicators and chart patterns have emerged, leading some analysts to predict a significant rally for the asset in the months ahead.
One prominent analyst, CryptoBullet, highlighted a “cup and handle” formation on Ethereum’s monthly price chart. This pattern suggests that Ethereum could potentially surge to new highs, with a target of $6,675. CryptoBullet expressed confidence in this prediction, stating, “This month, we’re going to SMASH through the resistance. Cup&Handle Target – $6675.”
Additionally, Venture Founder projected an even more ambitious target for Ethereum, estimating a price of $15,937 by May 2025. The analyst noted that Ethereum has been in a “triangular consolidation phase” for the past three years, similar to its behavior from 2016 to 2017, indicating a potential breakout and entry into a new price paradigm.
Another respected analyst, Clifton Fx, focused on Ethereum’s symmetrical triangle formation observed in the weekly timeframe. Clifton Fx suggested that an upside breakout from this pattern could propel Ethereum’s price to as high as $13,000.
Overall, analysts believe that Ethereum’s technical indicators are aligning to support a significant price rally in the future. Despite the current downturn in price, the long-term outlook for Ethereum remains positive, with various chart patterns and indicators pointing towards potential growth in the coming months.
The featured images in this article were created using DALL-E, and the charts were sourced from TradingView.