Ethereum recently experienced extreme volatility, plunging over 30% in a single day amid market panic fueled by U.S. trade war fears, only to stage an impressive recovery within hours following positive developments. Despite the turbulence, top analyst Jelle reveals that ETH is trading within a massive multi-year bullish pennant, suggesting a potential breakout above $4,000 is on the horizon.
The recent sharp rebound has reignited optimism among Ethereum investors, as the long-term bullish structure provides strong support for ETH’s growth potential. However, in the short-term, Ethereum is facing selling pressure and struggling to reclaim the crucial $3,000 level. Bulls need to push ETH above this key psychological level to confirm a breakout and set the stage for a rally into price discovery.
Jelle’s technical analysis indicates that Ethereum is currently setting its direction to tag key supply levels within the bullish pennant. A decisive move above the pattern could trigger a massive surge, propelling ETH to new all-time highs. On the other hand, a loss of the $2,800 support level could lead to a deeper correction, potentially dragging the price down to the $2,500 region.
As Ethereum remains at a critical juncture, traders and investors are closely watching key resistance and support levels. The next major move could have significant implications for the broader crypto market, given Ethereum’s position as the second-largest cryptocurrency by market capitalization. A successful breakout above $3,000-$3,100 could ignite a rally toward $3,500 and beyond, while a failure to hold support could extend the current consolidation phase.
Tags: Ethereum, ETH price, technical analysis, bullish pennant, breakout, crypto market