The overall market has experienced a significant price drop across all the major cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) in recent days. Amid this market downturn, Ethereum (ETH) the world’s second-biggest cryptocurrency has formed a bullish price action pattern on the 4-hour time frame.
Ethereum’s Ascending Triangle Pattern
In the past week, ETH has been consolidating within a tight range between $2,340 and $2,700. During this period, ETH has formed a bullish ascending triangle pattern at the crucial support level.
ETH Price Prediction
Following this formation of a bullish price action pattern, expert suggests bullish outlook for ETH. However, it is trading below the 200 Exponential Moving Average (EMA) on both 4-hour and daily time frames, which indicates a bearish trend.
If ETH gives a breakout of the bullish ascending triangle pattern in a 4-hour time frame and closes a candle above the $2,751 level, there is a high possibility it could soar 12% to reach the $3,100 level in the coming days. This level is near the 200 EMA, which acts as a strong resistance for ETH.
However, the current bearish market sentiment could make it challenging for ETH to break through this resistance level of the ascending triangle pattern. Besides, bearish market sentiment and ongoing consolidation investors and institutions are continuing to accumulate tokens at lower levels.
66% of ETH Holders are Profitable
Apart from this technical analysis, the on-chain analytic firm IntoTheBlock recently made a post on X (previously Twitter) stating that nearly 66% of ETH holders are currently profitable. This post on X (previously Twitter) has gathered massive attention from the crypto community. Additionally, the last time such profitability was witnessed was in October 2023, when ETH was trading near the $1,800 level.
At press time, ETH is trading near the $2,630 level and has remained stable for the last 24 hours. During the same period, it has also reached to $2,700 level. This stability, combined with the bullish price action pattern has led to a significant 95% increase in trading volume.
