The analyst has set these medium-term and long-term goals for Ethereum based on the rising parallel channel that is forming in its weekly price.
Ethereum has been moving in a rising channel for some time
In the up-to-date one post on X, analyst Ali Martinez discussed where ETH might go based on the pattern taking shape on the weekly price chart. The pattern in question is a technical analysis rising channel, which is a type of parallel channel.
The parallel channel consists of two parallel trend lines between which the asset price consolidates. The upper line of the pattern is created by connecting subsequent vertices, while the lower one connects the bottom.
Once the coin is in the channel, it will likely experience resistance at the first level and support at the second level. A breakout of any of these lines may indicate a continuation of the trend in this direction.
A regular parallel channel is also parallel to the time axis. If this is not the case, it is either an ascending canal or a descending canal. As their names already suggest, the former involves parallel trend lines sloping upwards, while the latter tends downwards.
This means that these patterns reflect consolidations up and down, respectively. Ethereum has recently been stuck in one such formation, as highlighted by the analyst’s 1-week price chart of the cryptocurrency.
As you can see in the chart above, the weekly price of Ethereum has been moving in an ascending channel for several years. The asset retested the lower level of the formation at the beginning of the year and successfully found support there, thanks to which its price could see a keen, upward rebound.
The coin is currently roughly midway through the channel, which means there is still some distance to travel before it tests the upper level again. However, assets may still find resistance here. “If #Ethereum $ETH experiences a decline, keep an eye on the $3,300 support level – a potential buying opportunity,” notes Martinez.
The last time ETH crossed the middle of the channel was in the first quarter of the year, when the coin climbed to the upper level. So, if Ethereum manages to overcome this challenge, it is possible that it will witness similar growth this time.
“Our medium-term goal remains at $6,000 and our long-term goal remains at $10,000!” – explains the analyst. From the current price, a potential enhance to the former would mean an enhance of 62%, and to the latter an enhance of 170%.
ETH price
At the time of writing, Ethereum is trading at around $3,700, up almost 8% from last week.
