Ethereum, one of the top largest cryptocurrencies by market cap, has been struggling recently amidst a bearish movement in the market. Despite its popularity, the price of Ethereum has been dropping, causing concern among investors. However, there is still hope for a possible reversal as a bullish pattern has formed on the Ethereum price chart.
With the recent decline in price, a falling wedge pattern has emerged for the Ethereum cryptocurrency. This pattern, identified by crypto analyst CobraVanguard on TradingView, could have significant implications for the future of Ethereum price. While a falling wedge pattern can be bullish for an asset, it can also lead to further bearish movement in price.
The analyst outlines two possible scenarios for the price of Ethereum. The first scenario involves a breakout from the falling wedge pattern on the 1-Day timeframe, which could potentially result in a significant price increase for Ethereum. Additionally, there is a bullish divergence on the MACD for the Ethereum price, further supporting the possibility of a breakout.
Alternatively, if the price does not break out from the pattern, the cryptocurrency’s price is expected to fall further. The analyst highlights the mounting bearish pressure on Ethereum as large holders continue to sell off their assets. There is also the possibility that the fifth wave could play out, leading to even higher price declines.
A breakout from the falling wedge pattern could be crucial for the future of Ethereum price. It could signal the end of the bearish trend that has been affecting the price of Ethereum. The analyst predicts that a breakout could push the ETH price as high as $3,000, representing a more than 30% increase from its current level.
On the other hand, a breakdown in price could lead to further declines, potentially dropping below $2,000. The analyst’s chart even suggests a price as low as $1,778 in the event of a breakdown. This, combined with low volume for ETH, could trigger additional declines to $1,500.
The future of Ethereum price remains uncertain, with potential for both bullish and bearish scenarios. The falling wedge pattern could be a turning point for Ethereum, but the outcome largely depends on whether a breakout occurs or if the price continues to decline. Investors will need to closely monitor the price movements and market trends to determine the best course of action in this volatile market environment.
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