Ethereum’s native token, Ether (ETH), has consolidated between $3,000 to $3,250 over the past seven days. Now, the world’s biggest altcoin is eyeing the next leg up toward $4,000.
As illustrated below, Ethereum has been up 9.65% over the past 24 hours, recovering a bullish position above the 50-day EMA level on the 4-hour chart. Ether is looking to retest its immediate resistance at the previous local high of $3,449.
Ethereum 4-hour chart. Source: TradingView
Besides recovering a bullish position above the 50-day moving average, the breakout has also occurred from a confirmed triple-bottom pattern coinciding with a daily order block, potentially strengthening the longer-term bullish case.
Big demand for Ethereum at $3K
With Ethereum consolidating near $3,000 over the past week, traders have taken this opportunity to establish a strong demand zone around the price range.
Data from IntoTheBlock shows that between $3,046 and $3,142, over 4.45 million Ether addresses had moved 5.4 million ETH for an average price of $3,099.
Ethereum In/Out of Money chart. Source: IntoTheBlock
This particular demand zone coincides with the order block formed near the $3,000 on the daily chart.
Earlier, Cointelegraph also reported that “fresh” Ethereum whale activity was starting to surface, with an address buying over 18,000 ETH million last week.
The same whale address has increased its ETH allocation by another 9,000 ETH, increasing its tally to 27,000 ETH, worth over $88.9 million.
Ethereum whale wallet data. Source: TradingView
Related: Ethereum DApp volumes gain 38% in a month — Will ETH price follow?
ETH price “golden cross” rally above $4K
From a technical standpoint, Ethereum’s daily chart is less than 24 hours from completing a “golden cross,” which often precede major rallies.
The golden cross is a technical pattern that signals a long-term uptrend when the 50-day moving average (exponential or simple) moves over the 200-day moving average.
Ethereum 1-day chart. Source: TradingView
Historically, a confirmed golden cross on Ether’s daily chart has marked the beginning of a strong uptrend of 100+% in 2020 and 2023. The bullish momentum has already started to unfold on the daily chart.
Meanwhile, Rekt Capital, an independent analyst and trader, notes that Ether price is currently breaking out of its short-term bull flag on the weekly chart. The trader said,
“Confirmed breakout would see ETH revisit the ~$3700 resistance above.”
Related: Grayscale completes reverse share splits of Bitcoin and Ether ETFs
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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