As Bitcoin finally climbs above the long-awaited $100,000 milestone, Ethereum (ETH) is trying to break out of a key resistance zone. The second-largest cryptocurrency rally has fueled optimism about targets, with some suggesting it could mimic BTC’s rally in 2020-2021.

Ethereum recovers $3,900

Ethereum, the second-largest cryptocurrency by market capitalization, surged 10% last week, moving from the $3,500 level to the $3,900 resistance. On Wednesday, the altcoin king broke above the $3,800 level for the first time in six months and continued to climb to retest resistance at $3,900, not seen since early March.

In the early hours of Thursday, ETH turned this key zone into support, briefly falling to $3,860 before rebounding to recently recovered levels. As the cryptocurrency approaches its yearly high of $4,093, sentiment around the token’s near-term performance has become extremely bullish.

Ethereum is once again testing a huge multi-year resistance zone that could push ETH towards a fresh ATH. According to analyst Alex Clay, the cryptocurrency is trying to do just that break “through a key resistance zone on the weekly time frame.”

Since 2021, ETH has rested in the key zone five times, being rejected four times by the upper resistance at $3,950. However, Ethereum surpassed this level in tardy 2021 when it hit an all-time high (ATH) and stayed above it for almost three months.

The analyst noted that if the Altcoin King successfully breaks above this level and turns it into support, it will be another “breakout” and blowing away its ATH. Clay added that he doesn’t see “any major pullback in the near future.”

Similarly, cryptocurrency analyst Jelle he stated that if Ethereum breaks above the March high, “all bets are off,” suggesting that the chances of ETH going through a long period of consolidation before a fresh ATH like BTC are “very low.”

ETH Will Rise Towards $10,000?

Jelle also noted that Ethereum’s current setup mimicked Bitcoin’s setup in July 2020. As the chart shows, Bitcoin broke its multi-year downtrend line by mid-2020, followed by a massive 500% 10-month rally towards the $60,000 level in April 2021

The analyst noted that ETH broke a multi-year trend line today, much like BTC did in 2020, which could trigger a similar rally towards fresh highs over the next few months. He added that investors “are in for a real treat if this brings something like this.”

In another post he highlighted that Ethereum began to rise as Bitcoin broke through its ATH and entered a price discovery phase as BTC price surged almost 100% above the previous cycle’s high.

He thinks it would be surprising “to see things play out similarly this time. BTC and ETH are rising in tandem, leading to the discovery of an ETH entry price around ±$130,000.”

Based on this, the analyst believes that a 150-200% upside is possible this cycle towards the $10,000 to $12,000 cryptocurrency price range. At the time of writing, ETH is trading at $3,905, up 2.4% on the daily time frame.

Featured image from Unsplash.com, chart from TradingView.com