Ethereum (ETH), the world’s second-largest cryptocurrency by market capitalization, is poised for massive upside momentum as it has formed a bullish price action pattern on the daily time frame. In the past few hours, sentiment in the cryptocurrency market has completely changed, with the price shifting from downward momentum to upward movement.
Crypto Whale $5.92 ETH purchase
Before the opening bell of the US market, ETH witnessed a modest price decline, but this completely changed as the price moved from the $3,190 level to $3,445 in six hours. This massive upward momentum gained a lot of attention from crypto enthusiasts, resulting in significant accumulation.
Today, January 15, 2025, a blockchain-based transaction tracker, Lookonchain, posted on X (formerly Twitter) stating that a newly created wallet had withdrawn a significant 1,799 ETH worth $5.92 million from Binance. In such market conditions, the withdrawal of an asset is considered a purchase and indicates a new acquisition, making it an ideal buying opportunity.
Current price momentum
This recent build-up, upcoming political events, and the SEC’s recent plans regarding pending cases have resulted in a significant increase in the price of ETH. Currently trading around $3,460, ETH has witnessed a price increase of over 8.2% in the last 24 hours. Furthermore, trader and investor participation increased by 15% during the same period compared to the day before.
Ethereum (ETH) Technical Analysis and Upcoming Level
According to expert technical analysis, ETH is back above the crucial support level and is poised to break the bearish wedge price action pattern on its daily time frame.
Based on the recent price action and historical momentum, if ETH breaks the pattern and closes a daily candle above the $3,600 level, there is a strong possibility that ETH could rise 15% to reach the $4,000 level in the future.
On the upside, ETH’s Relative Strength Index (RSI) is still below the overbought zone, indicating that the asset still has plenty of room to rise towards the forecast target.
Credit : coinpedia.org
