Volatility continues to reign in the general crypto market, causing major digital assets like Ethereum to retest key support levels that previously caused an upward move. While ETH is under notable bearish pressure, its price performance shows that the altcoin is about to enter a crucial zone.
A Potential Accumulation Zone Ahead for Ethereum
Recent price movements show that Ethereum, the second largest digital asset, is at a key juncture that could determine its next direction. Technical analysis platform Rose Premium Signals looks at ETH price developments strong points that the altcoin could be preparing for an accumulation zone.
The platform’s prediction comes as ETH shows signs of slowing, fueled by bearish performance overall. crypto market. Interestingly, long-term investors looking to profit from falling prices before a possible rebound may be attracted to the current crisis.
Given the ongoing consolidation after recent volatility, this phase may pave the way for the next major ETH price rally, possibly towards a new absolute record. In the meantime, it will be crucial to monitor key support and resistance levels to determine the strength of Ethereum’s market structure to undergo another significant upward move.
According to Rose Premium Signals, Ethereum has now fallen below the critical support zone within a 4-day time frame. This breakup coincides with ETH’s inability to maintain key price levels during unfavorable market conditions.
Given Bitcoin’s current correction, ETH could continue to retrace towards $2,807, providing a possible accumulation zone before a rebound. Nonetheless, if the altcoin fails to rebound, this breakdown could pave the way for increased volatility towards lower support points.
The Rose Premium Signals chart shows that ETH has formed an uptrend that indicates an upward trajectory. However, this chart pattern suggests a deeper potential correction before the bullish continuation resumes.
If Ethereum resumes its growth, Rose Premium Signals predicted a huge rally to the $7,000 mark. With the increasing adoption of Ethereum Blockchainthis positive trend could support the the next rise of the altcoin as investors assess potential resistance levels.
ETH Downward Movement Crucial for Major Push
Rose Premium Signals’ bold predictions align with those of tech expert and investor Ali Martinez, who predicted a significant rise to the $7,000 level. Interestingly, Martinez also expects a notable decline to a key support level before ETH resumes its upward direction.
Martinez highlights a decline to $2,900, which is optimistic for ETH as it represents an excellent buying opportunity on the dip up to the $7,000 threshold. Its predictions are supported by a key chart formation, particularly the head and shoulders pattern, often acting as a precursor to a rally.
Currently, Ethereum is trading at $3,297, indicating a slight increase of around 0.43% over the past 24 hours. ETH trading volume fell nearly 7% over the past day, suggesting a decline in investor confidence.
Featured image from Unsplash, chart from Tradingview.com
