Ethereum clears THIS key hurdle: What’s next for ETH’s price?
Is Ethereum Set for a Price Surge or Crash?
Ethereum [ETH] recently broke out from a falling wedge pattern, signaling a potential bullish rally. Despite a slight 5% increase since the breakout, market volatility has slowed, leaving ETH's immediate future uncertain. On-chain metrics show low selling pressure and high activity levels, suggesting continued investor interest. However, an increased NVT ratio and a high fear and greed index indicate potential overvaluation and market fear, which could hint at a forthcoming price correction.
How much did Ethereum's price increase after breaking out of the falling wedge pattern?
After breaking out of the falling wedge pattern, Ethereum's price increased by almost 5%. This breakout occurred after the token's price had consolidated within the pattern since March, and the upward movement marked a positive development for Ethereum's market performance1.
What is the significance of Ethereum breaking out of a falling wedge pattern?
The significance of Ethereum breaking out of a falling wedge pattern is that it indicates a potential bullish trend for the cryptocurrency. A falling wedge pattern is typically seen as a bullish continuation pattern, suggesting that Ethereum's price might continue to rise after breaking out of the wedge formation. This breakout has the potential to push ETH's price by 45%. Market indicators, such as the MACD and RSI, support this bullish outlook, suggesting that the chances of a major price correction are slim. However, it is important to note that some on-chain metrics, such as Ethereum's NVT ratio, have raised concerns about a possible price correction in the near future.