Ethereum price hovers at a crucial level following the latest rebound from a support floor. Though that’s bullish, the leading alt might revisit and possibly violate the $3K level before ETH presents an upside explosive move.
ETH Should Survive Current Test
Ethereum’s price moments between January 24 and March 27 had the alt forming a symmetrical triangle setup, determined by connecting the formed four higher lows and three lower peaks. This technical pattern predicts a 24% more towards the $3,818, obtained by measuring the swing high to swing bottom distance and adding to the breakout zone.
Ethereum overcame this pattern at $2,837 on March 27 and gained 22%. Though the initial move was lucrative, ETH faced exhaustion and saw a 17% fall to hit the support floor at $2,952. A rebound from this level translated to a 7% surge so far, with a brief correction on the horizon. Meanwhile, the current BTC condition may see Ethereum revisiting the April 11 swing low near $2,047.
If sidelined market players step up to trigger a sudden buying momentum surge, Ethereum can witness another leg-up, climbing towards the 2—day SMA around the $3,493.
As this level is significant, a decisive move beyond it will mean buying pressure resurgence and an upward toward the $3,833, the symmetrical triangle’s predicted target. Though unlikely, a massive bullish move may see Ethereum tagging the psychological zone at $4,000. That would translate to a 25% upward move for Ethereum.
The supply distribution chart supports ETH’s near-term retracement. That’s according to the address count. Large wallets between 100,000 and 1,000,000 Ether have seen drops since August last year. The figure has plunged to 140 from 154 within the past eight months. The decline reveals that market players aren’t confident about Ethereum’s near future. Nevertheless, market players should be cautious since a break beneath the support barrier at $2,952 could take ETH towards 2,500.
A 24hr candle close beneath $2,500 will welcome a massive crash, dragging ETH towards the $1,730 level. Meanwhile, buyers may indulge in colossal accumulation amid lucrative discounts. Such developments would trigger another upward move for the leading altcoin.