$7,000 Target ‘Is Looming’ As Price Retests Key Level
During the market correction, Ethereum (ETH) has retraced over 10% from its new highs and recently fell below the $3,300 support level. Despite the ongoing pullback, some analysts remain optimistic about ETH’s performance in the first quarter, believing that new highs are on the way.
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Ethereum forms bullish pattern
Ethereum chopped After falling below the $3,320 mark, it started the new year with gains today. The market’s pullback saw the second-largest cryptocurrency by market capitalization fall 14% from Monday’s high of $3,744, falling below support at $3,300.
During the early-year rally, the price of ETH Restored It is up 20% from the correction low and has surged to pre-correction levels for the first time in nearly three weeks. However, a market pullback saw Bitcoin lose 7.2% in 24 hours, causing Ethereum to fall to $3,210 levels on Thursday morning. The $3,200 to $3,300 price range has been a key support area for ETH throughout December.
Following its recent performance, some analysts say the cryptocurrency is forming a major reversal pattern that could push the price of ETH to new highs. On Wednesday, cryptocurrency analyst Rekt Capital famous Ethereum is forming a multi-month inverse head and shoulders pattern on the 1 million time frame.
To the analysts, it is “clear” that the $3,650 to $3,760 area is “a major resistance area, developing to just below $4,000, with price forming resistance at the lower highs and potentially becoming the neckline of the pattern. “
“The endpoint lies at the psychological level of $3,000,” he said, adding that “any pullback closer to the $3,000 level could cause Ethereum to form a right shoulder.”
Likewise, Miky Bull as Ethereum drops to lows in key $3,200 range Highlight The same pattern suggests that the $7,000 target is “imminent.” According to the chart, ETH price is likely to rise by 87.53% near the $7,400 to $7,500 price range based on a bullish setup.
No more “major pullbacks” for ETH?
Cryptocurrency analyst Ali Martinez also said shared He weighed in on the bullish pattern, asserting that a fall for ETH to $2,900 “would be very bullish.” The analyst believes this will create “a great bargain-hunting opportunity with a next price target of $7,000!”
However, it is worth noting that the bullish pattern will be invalidated if Ethereum rises Fall Below $2,800, where the left shoulder forms.
Meanwhile, another market watcher shared The similarities between ETH’s performance in early 2024 and 2025 highlight the altcoin king’s fall below the yearly open price in January 2024 before climbing higher the next month.
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“I think it’s important not to confuse a few days of red price action with high time frame skew,” he said. “I firmly believe this is the annual public shakeout as some overzealous participants prematurely Increased leverage. I’m very bullish on the first half of 2025.”
Analyst Cryptowolf consider There may be “little downside,” suggesting that ETH could retrace another 4% to 7% of its highs before reaching all-time highs (ATH).
As of this writing, ETH is trading at $3,255, down 2.15% on a daily basis.
Featured image from Unsplash.com, chart from TradingView.com
