Volatility continues to prevail over the general crypto market, causing major digital assets such as Ethereum to retest key support levels that previously prompted an upward move. With ETH experiencing notable bearish pressure, its price performance indicates that the altcoin is about to enter a decisive zone.
A potential accumulation zone ahead of Ethereum
Recent price movements show that Ethereum, the second largest digital asset, is at a key moment that could determine its next direction. Technical analysis platform Rose Premium Signals delves into ETH’s price action highlights that altcoin may be ready for an accumulation zone.
The platform’s prediction comes as ETH shows signs of waning momentum, fueled by a bearish performance in general crypto market. Interestingly, long-term investors looking to take advantage of lower prices before a potential recovery may be drawn to the current recession.
Given the ongoing consolidation after recent volatility, this phase could set the stage for ETH’s upcoming big price rally, possibly towards a new all-time high. In the meantime, watching key support and resistance levels will be crucial in determining the strength of Ethereum’s market structure to undergo another significant upward move.
According to Rose Premium Signals, Ethereum has now broken below the critical support zone within the 4-day period. This breach coincides with ETH’s inability to maintain key price levels amid adverse market conditions.
Given the current Bitcoin correction, ETH may continue to move back towards $2,807, providing a possible accumulation zone before a recoil. Nonetheless, if the altcoin fails to produce a rebound, this breakdown could pave the way for increased volatility towards lower support points.
Rose Premium Signal’s chart shows that ETH has formed a bullish pattern that points to an upward trajectory. However, this chart set suggests a potential deeper correction before the bullish continuation resumes.
Should Ethereum resume its rise, Rose Premium Signals has predicted a massive rally to the $7,000 mark. With the rising adoption of Ethereum blockchaincan this positive trend support altcoins next rise as investors assess potential resistance levels.
ETH’s downward movement essential for a bigger increase
Rose Premium Signal’s bold forecast is in line with Ali Martinez, a technical expert and investor, who has predicted a significant rise to the $7,000 level. Interestingly, Martinez also foresees a notable decline to a key support level before ETH resumes its upward direction.
Martinez points to a drop to $2,900, which is bullish for ETH as it presents an excellent opportunity to buy it at the $7,000 threshold. His forecast is supported by a key chart formation, particularly the Head and Shoulders pattern, which often acts as a precursor to a rally.
Currently, Ethereum is trading at $3,297, indicating a small increase of about 0.43% in the last 24 hours. ETH’s trading volume has fallen by nearly 7% over the past day, indicating that investor sentiment is waning.
