Ethereum is holding steady in the $3,600-$3,800 range, showing resilience despite recent market declines. This consolidation phase can be a serene before an crucial event breakoutas chart patterns point to a possible pre-rally pattern that could push ETH towards recent all-time highs.
A potential right shoulder formation signals structural strength
Cryptocurrency analyst MarketMaestro provided detailed technical analysis update on ETH, noting that the asset has recently suffered a key rejection due to neck resistance. Following this setback, the price is now in a crucial phase of retesting the red diagonal resistance line that it previously crossed. The ETH market’s success in maintaining this diagonal is imperative to avoid completely losing the bullish momentum built in previous moves.
Related Reading: Ethereum Falling Gradually – Buyers Lose Control as Market Turns Cautious
The analyst further noted that the current price movement suggests that ETH may form a right arm in this region. This structural development is very significant because the right arm is simultaneously working to complete two major, very bullish chart patterns.
This is the final piece needed to create the handle of the cup and handle pattern while also creating a larger reverse head and shoulders (reverse H&S) pattern. The simultaneous formation of an Inverse H&S and a Cup and Handle in the same area is extremely sporadic and powerful, indicating that the market is setting the stage for highly bullish patterns for the next quarter.
Given this powerful convergence of classic reversal and continuation patterns, along with the performance of the broader market index, MarketMaestro views this entire consolidation phase not as a weakness, but as a logical pre-rally setup. He concludes with a high degree of certainty that the “pain threshold,” or maximum expected risk of making things worse, is not likely to be very high.
The bullish bias remains intact as long as support remains forceful
In recent update, analyst Crypto Candy noted that the ETH scenario remains largely unchanged despite recent market movements. The key takeaway from the analysis is that these assets are showing significant resilience, firmly holding the key support zone between $3,600 and $3,800.
Related reading: Here’s what will happen to Ethereum price if the bullish trend continues
The analyst reiterated the importance of this particular range, emphasizing that as long as the $3,600-3,800 zone continues successfully, the medium-term upside outlook will remain unchanged. This suggests that buyers are aggressively defending this level, preventing a deeper correction from continuing.
Given the strength shown at this support level, Crypto Candy maintains a forceful price outlook: the market is expected to reach the $4,700 target, with the potential to reach a recent ATH. The analyst concludes that this bullish sentiment remains valid until the support zone at USD 3,600-3,800 is breached.
