Ethereum price has kept a strong position at $3,241 despite a minor 1.5% decline in the last 24 hours.
Based on this pattern, short-term targets for Bitcoin are set at $3,400, $3,500, and $3,600 all of which point towards the ascending channel.
This optimism may rise to $4,000 by January 2025 if the price is confined within the composite value area.
This optimistic projection is backed up by a proposed double purge setup. The formation has within the past led to buying pressure by liquidating long positions during the falling price.
It then pulls in short positions which are also closed out when price reverts to key support levels.
This has been the case in the past and therefore, there is likelihood to see the price jump to $3,800 if the trend continues.
– Advertisement –
MVRV Ratio Indicates Oversold Conditions and Whale Accumulation
Currently, the Ethereum 30-day Market Value to Realized Value (MVRV) ratio indicates that the asset is in oversold condition.
Past experiences of such occurrences have suggested accumulation phases, and large investors or ‘whales’ buying more coins.
The current alignment of MVRV levels with critical support zones improves the chances of upward movements.
The on-chain data shows more buying, which supports the possibility of a recovery.
Traders believe that when whales become active, the market is set to strengthen; this is because prior to such instances, the market has seen oversold conditions followed by tremendous price gains.
These factors make the path of the Ethereum price stable and more likely to rise.
Analysts Predict $6,000 Ethereum Price in Q1 2025
In addition, the long-term outlook for Ethereum is $6,000 based on technical configurations and an upward channel.
The channel suggests $2,800 as a key support level, which could act as a foundation for further growth if tested.
The bullish trajectory aligns with market sentiment, signaling the possibility of sustained growth in 2025.
Ethereum’s ability to maintain its current levels or recover from minor pullbacks will be crucial in reaching the predicted milestones.
Traders continue to look at ETH in terms of technical levels that indicate further rally of the cryptocurrency.
Ascending Channel and Support Levels Pave Path for Growth
The price of Ether in the Ethereum chart indicates an upward channel that shows that the price is gradually rising within specific bounds.
If ETH continues to trade at the current levels or if it breaks higher from lower supports including $3,100 or $3,000, there could be additional buying pressure.
However, recent analysis has backed this bullish outlook with the price of Ethereum forming an inverted head and shoulders pattern.
This is a $4,755 target and a rising channel suggesting consolidation before a breakout.
Preliminary targets for the medium-term are set at $6,000 in the event of breaking resistance at $3,800 and $4,100 levels supported by high buying pressure.
This channel is in line with the overall market resilience, which could push Ethereum past $4,000 in the near future. A successful breach of these levels would justify the long-term target at $6,000.
Moreover, the 4-hour MACD has a bullish crossover because the MACD line is above the signal line and moving upward. This indicates further upward pressure.
Furthermore, the histogram moves to the positive side which indicates a possible bullish sentiment.
With these levels acting as support, ETH price may well begin to target higher resistance levels in the near future.
