Despite its previous 9% drop, Ethereum may be on the verge of another all-time high (ATH). According to experts, ETH may start a rally which will yield a 650% increase.
“The way we look at Ethereum is we look at it almost as a crypto cloud stock,” Fundstrat Lead Digital Asset Strategist @David_Grid says. “Things like Ethereum really could… be the next wave of essentially cloud computing.” https://t.co/Jb7k9tf4PH pic.twitter.com/cbtgCKiPmM
— Yahoo Finance (@YahooFinance) January 20, 2021
Is Ethereum indeed on the verge of another breakout? In this Ethereum price analysis, we’ll find out if the charts agree.
Ethereum Price Analysis (Jan 24)
To be fair, Fundstrat advisers and leaders are well-known crypto bulls. Despite their prediction, is the crypto community ready for another Ethereum ATH? Let’s find out in the charts in this Ethereum price analysis.
The chart shows that despite having an irregular price movement, Ethereum is showing an identifiable pattern. For example, ETH would surge up before encountering a psychological ceiling. Once it hits the resistance, it immediately crashes until it becomes oversold. Then it would show a rising trendline before surging again.
As shown above, ETH succeeded in hitting a new ATH just this month in its second attempt. However, it crashed again in a similar fashion as its first rally attempt.
At the moment, we can see another rising trendline. If we look at the 1-hour chart, we can see another bullish indicator.
Ethereum showed an ascending triangle during the 1-hour chart, which is a bullish sign. This happens when the support level is ascending at a very high pace, while the resistance level seems to be stagnant. This reveals that there are more traders buying the asset than there are sellers.
Given these signs, we can say that ETH has a good chance of recording another ATH soon. However, increasing by up to 650% seems to be a long shot for now.
Disclaimer: The views and opinions expressed in this article are solely the author’s and do not necessarily reflect the views of CoinQuora. No information in this article should be interpreted as investment advice. CoinQuora encourages all users to do their own research before investing in cryptocurrencies.