Ethereum price to set new all-time high at $4,500 as ETH bulls take over

Bullish structural breakout of the Cloud in the Ichimoku Kinko Hyo system.
Fibonacci expansions project a new critical zone for the all-time high near $4,500
Few roadblocks ahead if Ethereum maintains momentum.

Ethereum price has finally caught up with Bitcoin’s price action by displaying a bullish condition within the Ichimoku Kinko Hyo system. There were some concerns about whether Ethereum was positioning for a bull trap, but those fears were mainly laid to rest.

Ethereum price fulfills extremely bullish Ichimoku entry condition, the road to $4,500 has few obstacles ahead

Ethereum price has experienced some significant whipsaws during the Wednesday trading session. After opening precisely on top of the Cloud at $3,516, it experienced a -5% drop to $3,342 before regaining that total loss and ultimately creating a new daily high. It should be noted that the move from the daily low to the new high has resulted in a nearly 9% gain.

Currently, Ethereum price is in the most bullish Ichimoku condition it has been in since August 7^th. A Fibonacci expansion (thick, green line) projects the 61.8% level is at $4,493. This is likely the next target zone for bulls to hit as the next resistance zone. $4,500 is slightly above the prior all-time high and represents a robust psychological level of resistance. However, knowing that the 100% Fibonacci expansion levels have a high positive expectancy rate of being hit, the $6,218 value area may be next. Look for Ethereum’s triple halving may augment any rally beyond $4,500.

ETH/USD Daily Ichimoku Chart

However, bulls should remain cautious as an extended rally from $3,500 is not a foregone conclusion. The daily current daily candlestick is a textbook bearish hammer pattern – indicating a near-term top. Additionally, the Relative Strength Index shows some flattening out against the last overbought level in a bear market (65). Likewise, the Optex Bands are nearing extreme overbought conditions. Ethereum price may be positioned for a spectacular bear trap – especially if Ethereum killer Cardano continues to whittle away at Ethereum’s use case.

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