The Ethereum price is drawing attention to its potential future outlook, as a crypto pundit points to a striking resemblance between the altcoin’s price action and Bitcoin’s during the 2015-2017 bull cycle. The analyst’s technical chart analysis suggests that ETH is destined for a breakout to $10,000 this cycle, marking new all-time highs.
Ethereum Price Chart Mirror’s Bitcoin Historic Breakout
According to Ted Pillows, a crypto pundit on X (formerly Twitter), a comparative analysis of Etheruem’s current price movement and that of Bitcoin during a previous bull cycle highlights a familiar bullish pattern. Based on this past trend, the analyst confidently predicts that Ethereum will hit $10,000 this cycle.
Between the bull market in 2015 and 2017, the Bitcoin price hit a bear market bottom between $201 and $205. After experiencing a bit of consolidation and volatility, the cryptocurrency eventually skyrocketed to a historic rally towards $685 and $785, marking new ATHs at the time. This massive surge occurred after Bitcoin broke out of resistance levels around the $465 threshold.
Based on the Pillows’ hypothesis, Ethereum appears to be following a similar trajectory, having completed its accumulation phase and recently breaking through major resistance levels. The number one altcoin has also experienced significant volatility recently, struggling to recover from previous bearish trends and market sell offs that pushed its value below the $3,000 price high.
While still in consolidation, as no strong surge has been recorded in the Ethereum price recently, Pillows highlights factors that could reinforce the altcoin’s bullish outlook. The analyst mentioned Ethereum’s Total Value Locked (TVL) and Stablecoin liquidity dominance. Currently, ETH leads in DeFi, securing the highest TVL across all platforms in the space.
Pillows also highlighted the impact of institutional demand and accumulation. As these factors increase, Ethereum could gain more exposure, potentially boosting its long-term value. Lastly, the analyst mentioned that Ethereum currently has a lower inflation rate than Bitcoin and 99% of the altcoins in the market.
Based on these seemingly bullish factors, Pillows urges investors and traders to set their sights higher, dismissing a $5,000 target as too conservative and advocating for a more ambitious $10,000 projection.
ETH Whales Get Back In Action
While analysts share their optimistic projections about Ethereum’s future outlook, whales are getting in on the ground floor and buying ETH tokens in droves. While the recent decline in the price of ETH may have caused panic selling for some, deep-pocketed investors have taken the market crash as an opportunity to accumulate.
According to TradeerPA, a crypto analyst on X, new reports show that ETH has been getting rapidly accumulated by Ethereum whales. Due to this accumulation trend, the analyst advocates for a price rally to new ATHs, driven by a positive shift in market sentiment and increased demand.
Featured image from Adobe Stock, chart from Tradingview.com
Kommentar hinterlassen