Ethereum Bulls Eye $2520, But Analyst Warns of 53% Correction!

Despite the BTC price witnessing a momentary drop to under $59k last night, Ethereum recorded a 0.66% rise, leading to an intraday doji candle. The ETH price is currently trading at $2381, with a minor intraday pullback of 0.14%. 

Will this hope of recovery stand as Vitalik Buterin and Ethereum foundations continue to sell ETH? Read our Ethereum price analysis below to learn the crucial supports and potential Ethereum price targets.

Ethereum Price Analysis

In the 4-hour chart, the declining trend in ETH price action reveals a triangle pattern. Currently, the altcoin’s price is testing the waters near the support trend line and teasing a bullish comeback. 

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Furthermore, the lower price rejection near the $2300 support and local support trend line fuels the possibility of a bullish comeback. Even the 4-hour RSI line shows a bullish divergence between the past two dips near the $2340 mark, projecting a potential double-bottom reversal. 

Analyst Highlights Ethereum’s Point of No-Return

In a recent X post, the crypto analyst Martinez highlighted crucial support for ETH, which is nearly $2250. The crucial support comes with the analysis of Ethereum along with the TD setup. Based on the indicator, a strong bull run follows every time the Ethereum price breaks above the TD resistance trendline. 

However, a breakdown below the TD support trend line has seen an average correction of 53%. The average TD support trendline currently stands at $2250, and a breakdown below this could result in a massive correction. 

Reposting this analysis, Martinez highlights the analysis along with the caption, “Now it makes why Vitalik Buterin and Ethereum Foundation have been selling.” With such a caption, an increased possibility of a drop below $2250 in Ethereum is highlighted.

Ethereum Price Targets

In case of a reversal rally, the overhead resistances for ETH in the near term are at $2425 and the local resistance trendline. Based on the Fibonacci levels, the breakout rally is likely to challenge the 50% level at $2520 or $2624 at the 78.60% level. 

In case of a bearish breakdown, the next support levels are present at $2300 and $2200. For insights into Ethereum’s future price, read our ETH Price Prediction!