Key takeaways:

• Ether’s rebound from a key support confluence puts $4,500 within reach again.

• The MVRV bands show that ETH price remains above support and is expected to rise to $5,000.

Ethereum’s native token, Ether (ETH), has rebounded by more than 15% two weeks after falling to a two-month low of $3,435. Many indicators currently indicate that ETH could extend its recovery to $4,500 by the end of October.

ETH price bull flag bounce in the game

Ethereum’s rebound appears to be forming a bull flag pattern, a structure that often signals a continuation of a dominant uptrend after a brief consolidation.

In the case of ETH, the flag is represented by a descending parallel channel developing after a keen rally from the April low near $2,500 to the August high around $4,950, as shown below.

The recent bounce off the channel’s lower boundary near $3,500 coincides with support from the 200-day exponential moving average (200-day EMA; blue wave), a level that has historically attracted buyers following declines during bull markets.

ETH could direct a breakout towards the upper boundary of the channel near the $4,450-$4,500 area in October if recovery momentum continues.

The interim upside target is consistent with the FOUR analyst’s double bottom technical setup, which can be seen The ETH price will hit the structure’s neck resistance at $4,750 in the coming days.

Trader Luca next expected ETH is rising towards $4,500 (red area in the chart below), given that it has held above the “weekly bullish support band” represented by the yellow area.

Meanwhile, a break above this area could push price toward a bull flag target above $5,200, a potential record high by November.

A breakdown below the support confluence, the lower boundary of the bull flag and the 200-day EMA support (blue wave) near $3,550 could invalidate the formation, exposing ETH to deeper pullbacks towards $3,000-3,200.

Ethereum MVRV Doubles $4,500 Target

MVRV Extreme Deviation Pricing Bands Ethereum price bands show that recent declines have stabilized near the mid-band around $3,900, a level that has historically served as a springboard for recent gains.

Related: BitMine Has Raised $1.5 Billion in Ether Since the Crash Despite Lee’s Treasury Bubble Concerns

Each time ETH has bounced from this midpoint, including in early 2021, mid-2023, and early 2024, it has moved toward the +1σ (standard deviation) band, currently hovering near $5,000.

This structure suggests that ETH remains in a “healthy correction” phase of the ongoing bull cycle, rather than signaling exhaustion. A push towards the $4,500-$5,000 zone in delayed October seems statistically likely if the mid-level continues to hold as support.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.