Celestia
Pearl
Quantus
Zcash
Hyperliquid
Injective
NEAR Protocol
Ethereum price held steady on Friday as a bullish chart pattern emerged. Futures open interest rates rose ahead of a major options expiry deadline.
ETH price jumped to a high of $3,060, its highest level since November 19. The price stood 16% above the lowest level this month.
Ethereum Price Technical Analysis as a Bullish Pattern Forms
Ethereum price is nearing a bull market, which happens when an asset rises by 20% from a local low. The daily chart indicates that the ongoing rebound began when the coin reached the 61.8% Fibonacci Retracement level. There, most rebounds normally happen.
It also happened as the coin approached the ultimate support level of the Murrey Math Lines tool. Most importantly, the rebound happened as the coin formed a falling wedge pattern.
This is characterized by two descending and converging trendlines. In this pattern, a rebound typically begins when the two trendlines approach their confluence levels.
Oscillators suggest that the Ethereum price is having a turnaround. For example, the two lines of the Percentage Price Oscillator (PPO) have formed a bullish crossover and are pointing upwards.
Similarly, the two lines of the True Strength Index (TSI) have also made a bullish crossover pattern. The most likely scenario is that the ETH price continues rising. The next important target level is $3,750, the Major S&R pivot point of the Murrey Math Lines tool.
A drop below this month’s low of $2,627 will invalidate the bullish Ethereum price forecast. ETH moved to this level on November 21. Such a move signals weakness in the market.
Bears remain active in the trading environment. They aim to push the price lower. Their target is the psychological level of $2,000.
ETH Options Expiry to be a Catalyst
One of the main catalysts for the ETH price is that millions of options are expiring on Friday. Data shows that 1.1 million Ethereum options contracts worth about $2 billion will expire. The maximum pain of this trade will be $3,000.
147,000 Bitcoin contracts will take place with a notional value of $13.4 billion. They carry a maximum pain level of $100,000. The total amount that expires on Friday will be valued at over $15 billion.
Historically, these events have led to more volatility before and after they happen. Ethereum’s options expiry is coming at a time when activity in the futures market is improving.
Data compiled by CoinGlass indicates that the open interest has been increasing slightly this week. It rose to $36.89 billion on Friday, up from this month’s low of $32 billion.
Fusaka Upgrade Positions ETH for a Potential Ethereum Price Rally
Another potential catalyst for the Ethereum price is the upcoming Fusaka upgrade. This will happen in December. It will be the next big upgrade after the Pectra update.
Pectra introduced account-abstraction wallets, maximum effective balance increase, and the ability for smart contracts and stakers to trigger voluntary exits.
Fusaka will boost the network’s scalability. It will introduce Peer Data Availability Sampling (PeerDA). It will increase blob throughput. It will improve node efficiency without changing the smart contract.
These features aim at solidifying Ethereum’s market share in key industries as competition rises. This competition comes at a time when layer-1 and layer-2 chains, such as Monad, Solana, and BNB Chain, are gaining popularity.
Ethereum maintains a strong market share in areas like DeFi, where it has a market share of 76%. Similarly, its total value locked in the RWA industry has jumped to $12 billion. It’s a substantial figure in an industry with over $36 billion in assets.
ETH price has done well in the past few days. It has already formed a falling wedge pattern, and its oscillators have formed a bullish divergence. Together with the upcoming Fusaka upgrade, there is a likelihood that the coin will rally despite the options expiry.
