Ethereum’s price fluctuations may be nearing its end in the short term, indicating a potential start of the much-anticipated major upward move to a new all-time high. Its upside capability to new highs is further supported by bullish indicators and key patterns cited on its chart.

A Rally Incoming For Ethereum Shortly?

In light of waning performance, seasoned technical analyst and trader Titan of Crypto has outlined a promising trend for Ethereum in the short term. The expert’s analysis shows that ETH’s price action remains strong citing a bullish chart pattern, particularly the Symmetrical Triangle formation.

According to Titan of Crypto, the symmetrical triangle pattern is still in play despite fluctuations in the broader crypto market. ETH’s maintenance of the chart formation suggests the possibility of further upside growth shortly.

Presently, the altcoin is sustaining above key support levels like the $2,600 mark as the triangle formation points to a continuation of its renewed momentum. Since such patterns have preceded huge rallies, investors and traders are watching the development closely and how it may impact ETH’s next price trajectory.

Titan of Crypto previously underlined the altcoin’s ability to surge soon, highlighting that Ethereum’s most hated rally is on the horizon. His forecast is based on the heightened sentiment and weak investors’ confidence in ETH, which is currently at its peak FUD. However, once the negative sentiment wears off, he believes that the asset’s “comeback will be legendary.”

Why ETH Remains A Promising Asset

As FUD grows in the market, Titan of Crypto has reminded investors of several crucial factors that solidify Ethereum as a leading asset in order not to be swayed by the noise. One of the factors presented by the expert is that ETH was the first blockchain to successfully introduce smart contracts into the mainstream. Its inception ultimately paved the way for other sectors such as Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs), and more.

Another factor is that ETH continues to foster innovation while holding its position as one of the biggest and most active developer communities in the crypto landscape. Lastly, Titan of Crypto pointed to the Merge protocol, which marked a historic shift to Proof-of-Stake by decreasing energy usage by about 99.95%.

Just as the blockchain boasts notable features, it also undergoes challenging aspects. Despite these promising advancements, ETH still faces setbacks like scaling, gas fees, and competition. This implies that Ethereum is not perfect, rather, it is evolving along with the changing market dynamics.

At the time of writing, Ethereum’s price was trading at $2,701, displaying a nearly 1% UPswing in the last 24 hours. Investors’ sentiment has drifted toward a negative area as shown by a more than 33% decline in trading volume in the past day.

Featured image from Unsplash, chart from Tradingview.com

Ethereum has been struggling below the $2,800 mark for weeks, unable to reclaim it as support and spark a recovery rally. This critical resistance level has kept bulls at bay, leaving the price action stagnant and fueling negative sentiment in the market. Analysts call for a bearish continuation, citing Ethereum’s inability to break through key supply zones. The broader market uncertainty and the persistent selling pressure have only added to concerns, making investors increasingly cautious about Ethereum’s short-term prospects.

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However, not everyone is bearish. Some investors remain optimistic that Ethereum could soon enter a recovery phase. Top analyst Ali Martinez recently shared a technical analysis revealing that Ethereum might be showing signs of a potential rebound. Martinez noted that the TD Sequential indicator—a widely used tool for identifying potential trend reversals—has flashed a buy signal on the weekly chart. This indicator, known for its accuracy in pinpointing moments of trend exhaustion, suggests that Ethereum could be nearing a turning point.

As Ethereum consolidates at current levels, the coming weeks will be crucial in determining its next move. Will the buy signal lead to a rally, or will bearish sentiment dominate? For now, all eyes are on the $2,800 mark and whether Ethereum can reclaim it.

Ethereum Prepares For A Rebound

After last week’s dramatic sell-off, Ethereum plummeted from $3,150 to $2,150 in less than two days, shaking the confidence of investors and leaving the market in turmoil. Although the price has since recovered strongly, climbing back into the $2,600–$2,700 range, Ethereum has struggled to reclaim key supply levels, keeping bearish sentiment alive. The road to recovery remains challenging, with ETH needing to break above the $3,000 mark to signal a reversal of the current bearish trend.

Top analyst Ali Martinez has provided some hope for Ethereum bulls, sharing positive data on X that suggests a potential rebound may be on the horizon. According to Martinez’s technical analysis, Ethereum is showing signs of recovery as the TD Sequential indicator flashes a buy signal on the weekly chart.

The TD Sequential, a well-respected tool in technical analysis, is specifically designed to identify moments of trend exhaustion and signal potential price reversals. A buy signal on the weekly chart is a particularly strong indicator, suggesting that ETH could be nearing a critical turning point.

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If Ethereum manages to step above the $3,000 mark and reclaim it as support, it would confirm a trend reversal and could spark a rally into higher price levels. However, until this key level is breached, uncertainty remains, and bearish pressure could still dominate. For now, the market is watching closely to see if Ethereum can capitalize on these positive signals and regain its footing. The coming weeks will be crucial in determining whether ETH can shake off its bearish trend and resume a path toward recovery.

ETH Price Testing Crucial Supply

Ethereum is currently trading at $2,695, consolidating after days of ranging between $2,525 and $2,795. The market remains indecisive, with both bulls and bears waiting for a breakout in either direction. Bulls face the critical challenge of reclaiming the $2,800 level as support to gain momentum and push the price toward $3,000. A move above $3,000 would confirm a recovery rally and potentially mark the beginning of a bullish phase for Ethereum.

However, the current price levels are crucial to maintaining a recovery phase. Sustaining the $2,600 support level is essential for bulls to build confidence and attract more buying pressure. Losing this level could disrupt the recovery momentum and spark a deeper correction, pushing ETH into lower demand zones that could see it retest levels below $2,500.

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The next few days will be pivotal for Ethereum’s short-term direction as it continues to hover near key levels. If bulls succeed in reclaiming $2,800 and pushing above $3,000, it could attract renewed interest from buyers and fuel a rally into higher supply zones. Conversely, failure to hold current levels could give bears the upper hand, leading to increased selling pressure and further price declines. For now, Ethereum remains in a critical consolidation phase.

Featured image from Dall-E, chart from TradingView

Ethereum price action amid the broader crypto market bearish sentiment over recent weeks hasn’t been any different from the performance recorded in the past months. Over this period, Ethereum’s price has struggled to gain significant upward momentum, remaining in a prolonged consolidation phase.

Amid this, a recent analysis by CryptoQuant contributor MAC_D has shed light on Ethereum’s current state and factors that may influence its future price trajectory. The analysis notes that Ethereum’s “ultrasound money” narrative—an idea tied to its post-Merge deflationary tokenomics—has faced challenges.

Total supply has reached record highs, and the staking ratio has decreased by 1% since November. However, despite these supply-side hurdles, several demand-side factors suggest Ethereum might be positioned for long-term growth.

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Undervaluation, Holder Behavior, and Institutional Interest

One other key insight from the analysis is that Ethereum appears undervalued based on its realized price. The realized price reflects the average acquisition cost of ETH holdings across all wallets, currently sitting at approximately $2,200.

With the current market price around $2,600, the analyst calculates a market value to realized value (MVRV) ratio slightly above 1, indicating that ETH remains undervalued relative to historical norms. This level could act as a strong support base, potentially limiting further downside.

Another factor supporting Ethereum’s potential upside is the behavior of long-term holders. The analysis highlights an increasing number of addresses that accumulate Ethereum without selling, akin to Bitcoin’s “permanent holders.”

Although some larger investors have sold during recent downturns, their positions have been absorbed by these long-term holders, helping stabilize the market. This trend suggests that Ethereum’s investor base is maturing, with a growing segment committed to holding the asset through market volatility.

Ethereum: A Major Rebound On The Horizon?

Furthermore, the analyst points out that selling pressure in the futures market has eased. Data shows a notable reduction in market price trading volume on the sell side since Ethereum’s price near $4,000 in November last year.

This decline in selling activity, even as prices fell, signals a relative influx of buying power, which could set the stage for a recovery if market conditions improve.

Institutional participation is another encouraging factor. Major players, including BlackRock, Cumberland, and other prominent firms, have reportedly accumulated substantial amounts of ETH during the recent downturn.

For example, BlackRock is said to have purchased over 100,000 ETH, valued at more than $270 million. Such significant institutional inflows not only boost demand but also lend credibility to Ethereum’s long-term investment thesis.

Despite these positive indicators, the analysis acknowledges lingering challenges. The increase in total supply and the slight dip in the staking ratio could weigh on sentiment, particularly if macroeconomic conditions remain uncertain.

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Moreover, Ethereum’s price movement may remain constrained in the short term as the broader market digests ongoing economic shifts. However, the combination of undervaluation, strong long-term holder participation, reduced selling pressure, and institutional accumulation paints a more optimistic medium- to long-term outlook.

While Ethereum may continue to trade sideways in the near term, the factors outlined in the analysis suggest that it could be well-positioned for growth once broader market conditions stabilize.

Featured image created with DALL-E, Chart from TradingView