Overview:
Ethereum is currently testing a significant price zone after breaking out of a long-term symmetrical triangle pattern on the monthly chart. The recent drop has brought ETH to a major support area, which could act as a strong demand zone before a potential reversal.
Key Observations:
Symmetrical Triangle Breakdown:
ETH/USDT formed a symmetrical triangle over multiple years, representing a period of consolidation.
The price recently broke below the lower boundary of this pattern, leading to a sharp decline.
Major Support Zone (Potential Bounce Area):
The black box highlights a key demand zone between $1,750 – $1,800.
This area previously acted as a support level in the past market cycles.
If buyers step in, ETH could see a strong rebound from this region.
Reversal Area Target ($6,000+):
The chart suggests a potential long-term rally if ETH holds the current support and reclaims key resistance levels.
The expected price trajectory follows a higher-high, higher-low pattern toward the $6,000 zone.
This target aligns with the previous all-time high zones and Fibonacci extension levels.
Bearish Scenario (Risk Consideration):
If ETH fails to hold the $1,750 support, the next significant support level is near $1,500 - $1,200.
A continued downtrend could invalidate the bullish recovery scenario.
Trading Strategy Considerations:
✅ Bullish Setup (Rebound from Support)
Entry: Near $1,750 - $1,800, looking for a bullish confirmation (e.g., daily/weekly green candle).
Target 1: $2,500 (prior support turned resistance).
Target 2: $3,500 (mid-range resistance).
Target 3: $6,000 (full breakout target).
Stop-loss: Below $1,700, in case of further breakdown.
❌ Bearish Setup (Breakdown Below Support)
If ETH closes below $1,750, the next downside targets are:
$1,500 (key psychological level).
$1,200 (historical support zone).
Conclusion:
Ethereum is at a make-or-break point after breaking its long-term triangle pattern.
Holding $1,750 could spark a massive bullish reversal, with potential upside toward $6,000+.
A failure to hold support may lead to deeper corrections.
Traders should monitor the $1,750 level closely for confirmation before entering positions.
🚀 What’s Next?
Watch for bullish price action signs (e.g., long wicks, strong green candles) around the $1,750-$1,800 area before making a move. If ETH reclaims $2,500, it could signal a strong recovery phase.
Ethereum is currently testing a significant price zone after breaking out of a long-term symmetrical triangle pattern on the monthly chart. The recent drop has brought ETH to a major support area, which could act as a strong demand zone before a potential reversal.
Key Observations:
Symmetrical Triangle Breakdown:
ETH/USDT formed a symmetrical triangle over multiple years, representing a period of consolidation.
The price recently broke below the lower boundary of this pattern, leading to a sharp decline.
Major Support Zone (Potential Bounce Area):
The black box highlights a key demand zone between $1,750 – $1,800.
This area previously acted as a support level in the past market cycles.
If buyers step in, ETH could see a strong rebound from this region.
Reversal Area Target ($6,000+):
The chart suggests a potential long-term rally if ETH holds the current support and reclaims key resistance levels.
The expected price trajectory follows a higher-high, higher-low pattern toward the $6,000 zone.
This target aligns with the previous all-time high zones and Fibonacci extension levels.
Bearish Scenario (Risk Consideration):
If ETH fails to hold the $1,750 support, the next significant support level is near $1,500 - $1,200.
A continued downtrend could invalidate the bullish recovery scenario.
Trading Strategy Considerations:
✅ Bullish Setup (Rebound from Support)
Entry: Near $1,750 - $1,800, looking for a bullish confirmation (e.g., daily/weekly green candle).
Target 1: $2,500 (prior support turned resistance).
Target 2: $3,500 (mid-range resistance).
Target 3: $6,000 (full breakout target).
Stop-loss: Below $1,700, in case of further breakdown.
❌ Bearish Setup (Breakdown Below Support)
If ETH closes below $1,750, the next downside targets are:
$1,500 (key psychological level).
$1,200 (historical support zone).
Conclusion:
Ethereum is at a make-or-break point after breaking its long-term triangle pattern.
Holding $1,750 could spark a massive bullish reversal, with potential upside toward $6,000+.
A failure to hold support may lead to deeper corrections.
Traders should monitor the $1,750 level closely for confirmation before entering positions.
🚀 What’s Next?
Watch for bullish price action signs (e.g., long wicks, strong green candles) around the $1,750-$1,800 area before making a move. If ETH reclaims $2,500, it could signal a strong recovery phase.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.