- Ethereum price has sprouted after tight consolidation and eyes a retest of $1,350 and higher levels.
- Chinese ETH miner Jiang Zhuoer anticipates ETH to permanently leave its current range and kick-start a bull run from March to May 2023.
- Invalidation of the bullish outlook will occur if the smart-contract token breaches the $1,215 support level.
Ethereum price has been consolidating since January 3 and has finally triggered an explosive move to the upside. While this move is a bullish development from a technical standpoint, Chinese miner, Jiang Zhouer, says that the long-term ETH consolidation that has been ongoing since June 2022 will end soon.
He added that this range tightening will end in March and May 2023, following which Ethereum price will permanently leave this area and kick-start a bull rally. He stated,
ETH will be the leader of the next round of bull market, and it will start to rise earlier than BTC. I predict that 2-4 months later (that is, from March to May 2023), ETH will start to rise, and it will permanently break away from the current Bottom range.
Ethereum price takes off
Ethereum price was consolidating in a channel for roughly three weeks, starting from December 16, 2022. However, the breakout on January 6 provided fuel for the sidelined ETH buyers to kick-start a buying spree.
As a result, Ethereum price has rallied nearly 5% so far and eyes a push to collect the liquidity resting above the equal highs at $1,350. Overcoming this hurdle will allow ETH to retest $1,375, which is the midpoint of the larger range, extending from $1,679 to $1,071, formed after the 36% crash in early November 2022.
Overcoming the $1,375 barrier will be crucial for Ethereum price to tag the 62% retracement level at $1,448 and 70.5% retracement level at $1,500.
While these targets might seem enticing for the bulls, investors need to note that it is possible only if Ethereum price manages to overcome the $1,375 hurdle first.
ETH/USDT 4-hour chart
On the other hand, if Ethereum price fails to sustain this recent uptick in buyer interest, it will likely retrace its move. If ETH slides into the parallel channel, it will be the first sign of weakness.
A spike in selling pressure that pushes Ethereum price to produce a four-hour candlestick close below $1,215 will invalidate the bullish thesis. In such a case, ETH will likely slide 5% and sweep the liquidity resting below the equal lows at t$1,150.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery
Ripple made a comeback above $0.48 on Tuesday and hovers above that level in Wednesday’s European session. Ripple on-chain metrics such as transaction volume and Network Realized Profit/Loss have turned bullish, supporting a recovery in the altcoin.
Bitcoin price falls amidst German government transfers, miners activity
Bitcoin (BTC) extends correction on Wednesday and hovers around $61,000 after finding resistance near the $64,000 level on Monday. Recent on-chain data indicates heightened selling activity from Bitcoin miners early in the week.
Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds
Bitcoin wipes out gains from the last week of June and falls below $60,000 on Wednesday. Ethereum and top altcoins ranked by market capitalization erased gains as the inflation outlook worsened. Ripple holds on to recent gains and hovers above $0.48 on Wednesday.
Three reasons why altcoins could shake off losses this week
On-chain data from Santiment shows that altcoins are currently in the opportunity zone, or generating buy signals. The top three altcoins in the buy zone are Basic Attention Token (BAT), Chromia (CHR), and Highstreet (HIGH), per Santiment.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.