The crypto market is buzzing with excitement as Bitcoin and Ethereum are on the rise. Everyone’s talking about the Fed’s upcoming interest rate cut, but there’s another reason to be optimistic about Ethereum in the coming months.
Ethereum’s History After Bitcoin Halvings
Historically, Ethereum has performed well after Bitcoin halving events. In 2016, Ethereum experienced a dip before surging by a whopping 3,400%. The same pattern played out in 2020, with Ethereum seeing a 2,150% gain. While Ethereum has been mirroring Bitcoin’s volatility since the last halving in April, things might be changing.
A Triple Bottom Formation?
Analyst CryptoBullet has spotted a “triple bottom” formation on Ethereum’s daily chart. This pattern, similar to what was seen in 2021, suggests that Ethereum could be poised for a rebound. In 2021, Ethereum jumped from around $1,650 to its all-time high of $4,730.
Ethereum’s Price Outlook
While Ethereum is currently trading at $2,330, it’s still over 52% below its all-time high. The coming days will be crucial for Ethereum’s price.
Key Support and Resistance Levels:
- Support:
$2,260, $2,200, $2,100 - Resistance: $2,350 (50-day EMA), $2,400, $2,520, $2,620 (200-day EMA)
If Ethereum breaks above $2,350, it could be on its way to retesting the $2,520 mark. A break above $2,620 would be a significant bullish signal.
The Bottom Line
While Ethereum has faced some challenges recently, the triple bottom formation suggests that a rebound might be in the works. The Fed’s interest rate cut could also provide a boost to the crypto market. Q4 could be a good time to watch Ethereum closely.
