Key insights
- Analysts see Ethereum’s price action mirroring the 2019-2021 cycle.
- Whales are accumulating ETH, signaling confidence in long-term growth.
- A potential double-bottom pattern suggests a bullish reversal ahead.
Ethereum price is experiencing a surge in accumulation, with large investors continuing to buy despite recent price declines. Analysts are closely monitoring the market, suggesting that Ethereum’s price action resembles past cycles, which could lead to a strong recovery.
Ethereum’s Price Action Resembles Previous Market Cycles
TedPillows, a market analyst, says that Ethereum’s chart over the last two weeks looks very similar to the price action for Ethereum from 2019 to 2021. A comparison of the chart shows that ETH is now testing a crucial support level that previously acted as a take off point for a major price rally.
“If history repeats itself, Ethereum could trade for at least $6000 before the second quarter of the year 2025,” TedPillows pointed out In his analysis.
Another popular market analyst CryptoCaesarTA is positive on Ethereum and he is also expecting it to go up. The 1D chart reveals Ethereum retesting the demand area $2,112 and $1,900 as this zone served as support earlier.
The chart also has multiple CHoCH and BOS indicators that signal possible changes in the trends of the market. The price has retraced to one of the essential support level areas that were earlier bounced from, related to liquidity.
CryptoCaesarTA has opined that should the buying pressure continue to rise Ethereum has the potential of touching the areas of between $3,400 and $4,000. Nonetheless, observing a wave of strong support it is also possible that the price will reach the opposite effect and may decrease.
Ethereum Price Technical Indicators Suggest Potential Double Bottom Formation
Ethereum’s daily chart suggests a possible double bottom formation, which is a bullish reversal pattern if confirmed. Two recent lows around $2,110–$2,120 indicate strong support at this level. The Relative Strength Index (RSI) is currently at 27.69, signaling oversold conditions. Historically, ETH has seen price recoveries when RSI moves out of this territory.
The Cumulative Volume Delta is negative and stands at -20.89K meaning more volumes continue to be exited by sellers. A shift in CVD toward positive values could confirm buyer momentum. Furthermore, AO is negative, which confirms lower pressure for the prices. The implication of this is that a bullish crossover figure in AO will help in supporting the double bottom breakout.
If Ethereum price goes above the neckline resistance of $2,600-$2700, the head and shoulders pattern could be valid, and targets around $3000-$3600 may apply. However, the price could easily break down the support level of $2,100 to trade at lower price levels including $1,900 or even lower.
Whales Continue to Buy Ethereum at a Record Pace
Ethereum’s Realized Price by Accumulating Addresses chart also illustrates that major investors are acquiring more coins. The pink line showing the realized price to the addresses has also been moving upwards even in correction periods.
This trend indicates that whales and institutional investors continue to buy ETH, regardless of short-term price fluctuations. Historically, similar accumulation phases have preceded major price rallies.
The increase suggests that new buyers are entering the market at higher prices, reducing circulating supply. This could provide price stability and support a future uptrend if the accumulation trend continues.
Disclaimer
In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
Olivia Stephanie is a FinTech enthusiast with a keen understanding of financial markets. Her passion for economics and finance has led her to explore emerging blockchain technology and cryptocurrency markets.