Ethereum Coil Tightens: Break to $4.5K or $7.6K Incoming?
Ethereum (ETH) is trading around $2,850, showing a small drop over the last 24 hours. The weekly performance is slightly negative at 2%.
While the price action remains range-bound, chart patterns and market signals are drawing attention from traders.
Falling Wedge Pattern Tightens on 12-Hour Chart
Analyst Don has identified a falling wedge forming on Ethereum’s 12-hour chart. This pattern, shaped by two descending and converging trendlines, typically appears near the end of a downtrend. The asset is compressing further within the structure, with lower highs and lower lows.
So far, ETH has not broken out. The pattern is still intact, but the price is nearing the wedge’s apex. Don noted that a confirmed breakout above the upper trendline could shift momentum upward. A breakout could target higher resistance zones, with $4,500 marked as a key level on Don’s chart.
Moreover, on the weekly chart, Bitcoinsensus pointed to a possible inverse head-and-shoulders pattern. This includes a left shoulder formed in mid-2024, a head near $1,500 in early 2025, and a right shoulder now taking shape. The neckline sits at around $4,800.
This structure is often linked to long-term trend shifts. If the price closes above the neckline, the move could activate a larger rally. The estimated target, based on the height of the pattern, is around $7,600.
Key Price Levels and Market Behavior
According to trader Lennaert Snyder, ETH is currently reacting to resistance near $2,850. A reclaim of this level may open the door toward $3,000. Snyder added that a rejection here could push the price back toward $2,700.
Elsewhere, Titan of Crypto reported that ETH is testing the SSB level on the Ichimoku Cloud. A hold at this level could lead to a bounce toward $3,500. If support fails, lower levels may come into play.
Whales Hold Steady Near Realized Price
CW stated that Ethereum is now trading close to the realized price of accumulation addresses, which reflect the average entry price of larger wallets.
Whale activity has remained steady, while broader market interest has also returned. Following Ethereum’s drop to near $2,800, open interest in ETH futures increased, pointing to renewed positioning in the market. Accumulation at these levels has continued since mid-year, supported by easing financial conditions and steady inflows.
The post Ethereum Coil Tightens: Break to $4.5K or $7.6K Incoming? appeared first on CryptoPotato.
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