Ethereum

bullish

Daily

<p>Ethereum is in a crucial phase, with an inverted head and shoulders pattern forming on the daily chart and a double-bottom pattern on the 4-hour chart, both pointing toward the possibility of a slight bullish reversal.</p>
<p>The $2.7K neckline and $2.1K support level will be key areas to watch, as a breakout or breakdown will determine the next primary direction.</p>
<h1 id="technical-analysis">Technical Analysis</h1>
<p>By <a href="https://www.linkedin.com/in/shayan-navabi-522107248/" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">Shayan</a></p>
<h2 id="the-daily-chart">The Daily Chart</h2>
<p>Ethereum is undergoing a descending consolidation phase, with no clear directional bias emerging recently. However, an important inverted head and shoulders pattern has formed near the $2.1K support zone, a critical level where buyers have managed to hold ground.</p>
<p>This pattern is typically a bullish reversal signal, suggesting that a shift towards upward momentum may be on the horizon, particularly if ETH can break through the neckline, which is around $2.7K.</p>
<p>Ethereum has roughly reclaimed the midpoint of the multi-month channel, which lies around $2.5K. If this breakout turns out to be valid, buyers’ next focus will shift to the neckline of the inverted head-and-shoulders pattern at $2.7K. A breakthrough at this level could solidify a bullish reversal, potentially targeting the $3K resistance zone in the near term.</p>
<figure id="attachment_366038" aria-describedby="caption-attachment-366038" style="width: 100%" class="wp-caption aligncenter"><a href="https://cryptopotato.com/wp-content/uploads/2024/10/ETH-D-3.jpg" data-wpel-link="internal" rel="noopener noreferrer nofollow"></a>
 <figcaption id="caption-attachment-366038" class="wp-caption-text">
  Source: TradingView
 </figcaption>
</figure>
<h2 id="the-4-hour-chart">The 4-Hour Chart</h2>
<p>On the 4-hour chart, Ethereum sellers have struggled to push the price below the ascending flag pattern’s lower boundary, which sits near $2.3K. This dynamic support level has been tested multiple times, and a breach here could trigger a long-squeeze event, sending the price rapidly down to the $2.1K support region. However, Ethereum has also formed a double-bottom pattern in this timeframe, which typically signals a short-term bullish reversal.</p>
<p>The price is currently confined between the ascending flag’s support and a critical resistance zone defined by the 0.5 Fibonacci level at $2.6K and the 0.618 Fibonacci level at $2.8K. Ethereum will likely continue consolidating within this tight range until a decisive breakout, either upward or downward, occurs.</p>
<figure id="attachment_366039" aria-describedby="caption-attachment-366039" style="width: 100%" class="wp-caption aligncenter"><a href="https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3.jpg" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img class="wp-image-366039 size-full" src="https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3.jpg" alt="eth_price_chart_1410242" width="1835" height="872" srcset="https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3.jpg 1835w, https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3-300x143.jpg 300w, https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3-1024x487.jpg 1024w, https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3-768x365.jpg 768w, https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3-1536x730.jpg 1536w, https://cryptopotato.com/wp-content/uploads/2024/10/ETH-4H-3-50x24.jpg 50w" sizes="(max-width: 1835px) 100vw, 1835px"></a>
 <figcaption id="caption-attachment-366039" class="wp-caption-text">
  Source: TradingView
 </figcaption>
</figure>
<h1 id="onchain-analysis">Onchain Analysis</h1>
<p>By <a href="https://www.linkedin.com/in/shayan-navabi-522107248/" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">Shayan</a></p>
<p>Ethereum is currently trapped within a price range between $2.1K and $2.7K, and a detailed look at the Binance liquidation heatmap reveals the key liquidity zones that could influence an impending breakout. The heatmap displays regions of concentrated liquidity, such as stop-loss orders and liquidation levels, which are predominantly driven by more significant market participants, including whales.</p>
<p>The cryptocurrency faces a period of slight consolidation with minimal volatility, reflecting the equilibrium between buyers and sellers. On the downside, the $2K region is heavily defended by whales and institutional traders, as evidenced by significant liquidity pools concentrated in this area.&nbsp; On the other hand, the $2.8K resistance zone represents a formidable barrier, as it holds a significant amount of liquidity.</p>
<p>This liquidity concentration suggests that many traders, particularly large ones, have placed their liquidation points around this price level, making it critical. A breakout in either direction could lead to a liquidation cascade, triggering a chain reaction of stop-loss orders and liquidations that could amplify the prevailing trend.</p>
<figure id="attachment_366040" aria-describedby="caption-attachment-366040" style="width: 100%" class="wp-caption aligncenter"><a href="https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-scaled.jpg" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img class="wp-image-366040 size-full" src="https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-scaled.jpg" alt="eth_binance_liquidation_heatmap_chart_1410241" width="2560" height="1512" srcset="https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-scaled.jpg 2560w, https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-300x177.jpg 300w, https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-1024x605.jpg 1024w, https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-768x453.jpg 768w, https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-1536x907.jpg 1536w, https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-2048x1209.jpg 2048w, https://cryptopotato.com/wp-content/uploads/2024/10/Binance_ETH_USDT_Liquidation_Heatmap3_month_2024_10_14_13_50_00-50x30.jpg 50w" sizes="(max-width: 2560px) 100vw, 2560px"></a>
 <figcaption id="caption-attachment-366040" class="wp-caption-text">
  Source: CoinGlass
 </figcaption>
</figure>
<p>The post <a href="https://cryptopotato.com/ethereum-price-analysis-is-eth-about-to-break-above-2-6k-at-last/" rel="noopener noreferrer nofollow">Ethereum Price Analysis: Is ETH About to Break Above $2.6K at Last?</a> appeared first on <a href="https://cryptopotato.com/" rel="noopener noreferrer nofollow">CryptoPotato</a>.</p>

Ethereum Price Analysis: Is ETH About to Break Above $2.6K at Last?

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