Ethereum is back below $ 3,000 in no time after hitting a high of well over $ 4,000 a few weeks ago. The wider correction in the crypto market has brought out the best of ETH and the rest of the altcoins in particular, and even managed to bring down Bitcoin.
However, if past market cycles are any indication of future results, the crash could be the first hint of an ascending trendline sending the high-ranking altcoin to around $ 10,000 per ETH.
How DeFi and NFTs create a completely different bull run than ICOs
During the 2017 bull market, both Bitcoin and Ethereum soared as money poured into the market. A large part of this capital flowed into ICOs, which the FOMO only fueled for the ETH. Eventually, they also led to the collapse of the secondary cryptocurrency and the start of the Ethereum bear market.
Today things are very different. The main altcoin in the room carries the rest of the market on its back. While that results in high fees and slower transactions, that’s because DeFi is such a big deal and so is NFTs.
Related reading | The bearish signal that Ethereum bulls must fear
These two transcendent technologies are also owed to Ethereum, and while other chains could take the lead, the first mover advantage is hard to beat. While the altcoin recently plummeted in price, the pullback was technical and fundamentals remain heavily bullish.
This could cause the recent sell-off to bottom out and after some time circling a breakout to $ 10,000 could next follow in an ascending pattern for ETH.
The ascending triangle would target $ 10,000 | Source: ETHUSD on TradingView.com
Analyst: Repeated Triangle Fractal Could Push Ethereum To $ 10,000
The reference pattern is an ascending triangle pattern shown above. The pattern also corresponds to the final phase of consolidation of the last bull market before Ethereum climbed to all-time highs and the bear market began.
Related reading | According to the Bitcoin Blueprint, the Ethereum rally could pause here
Ether has a lot more going for it this time around, but after a run from $ 4,000 to $ 10,000, the market may need to reset – much like the market had to reset after rising from $ 500 to $ 4,000 last year.
The path Ether could take if the fractal | . confirmed source: ETHUSD on TradingView.com
According to a trader who also sees the pattern, the goal of the structure will be $ 10,000 per ETH. Add an ascending pitchfork channel and some bars from the last breakout projected forward and the price action would match.
The path Ethereum is taking would only be visible in retrospect, but if it’s right, the crypto market still has a leg up before the bull market is over.
Featured image from iStockPhoto, charts from TradingView.com