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The ETH/BTC trading pair has sparked optimism amidst renewed bullish sentiment, indicating a potential for Ethereum’s recovery.
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The emergence of a bullish symmetrical triangle pattern could signal a turning point for Ethereum’s price trajectory.
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“A shift toward the upside suggests that buyers are regaining control,” noted a source from COINOTAG, highlighting the diminishing selling pressure.
Ethereum’s ETH/BTC pair shows bullish patterns, prompting fresh investor optimism as selling pressure abates. Will ETH reclaim higher price levels soon?
High-probability setup emerges: Will ETH rally soon?
The ETH/BTC pair has formed a symmetrical triangle pattern, indicating a high-probability setup for potential upward movement. The price is currently oscillating between converging support and resistance levels, appearing to be situated near the support level. This positioning could lead to a significant breakout if buying momentum continues to increase.
This formation on the monthly timeframe enhances the likelihood of an upward breakout as traders gauge market sentiment. Notably, if ETH realizes a rally, three pivotal levels to monitor are 0.0540, 0.0859, and 0.1202. Each of these levels indicates a potential elevation in the value of ETH against BTC.
Source: Trading View
As the ETH/BTC pair approaches these levels, we may observe a corresponding uptick in the ETH/USDT price, which currently stands at $3,200. A successful rally could enable ETH to reclaim earlier highs near $4,000.
Sellers are losing steam
Recent market trends suggest that sellers are gradually losing their grip, as evidenced by the decline in the current Relative Strength Index (RSI), which now sits at 32.19. This indicator being close to the oversold zone implies that the downward momentum is faltering, potentially paving the way for renewed buying interest.
Moreover, when the RSI nears the 30 threshold, it typically signals diminishing selling activity, suggesting an enhanced possibility for prices to rise.
Source: Trading View
The reduction in selling pressure is corroborated by the Chaikin Money Flow (CMF), which is trending upward, indicating a shift toward positive territory. This ascent in the CMF reflects a resurgence in buying strength over selling, further validating the potential for a price rebound for ETH.
Accumulation spree for ETH
On-chain data from CryptoQuant shows a remarkable uptick in Ethereum accumulation, signifying a shift in sentiment among investors who are now holding ETH for the long haul.
The total number of addresses holding ETH has surged by 60%, now representing 16% of the total supply—approximately 19.4 million ETH. This increase, up from 10% in August, indicates a significant transition in investor strategy and confidence.
Source: X
Such an accumulation trend typically signals bullish market sentiment, hinting at a growing confidence among investors that could lead to a considerable price increase for ETH in the future.
Conclusion
The current market dynamics suggest that Ethereum may be on the verge of a significant upswing. With signs of decreasing selling pressure, notable accumulation among investors, and bullish technical patterns emerging, there is a realistic scenario of ETH reclaiming higher price points. Should these trends persist, ETH could experience a robust market revival, strengthening its position in the cryptocurrency landscape.
