Ethereum (ETH) Price Rebounds 7.2% Amid Looming MACD Golden Cross
ETH bounces back from the weekend slump, confirming its uptrend. Will it go to $2,800 next?
Key Takeaways
- Ethereum recovered 28% from its August 5 low of $2,120.
- A potential golden cross may signal a significant uptrend.
- A breakout above the descending channel could confirm a new bullish phase.
Ethereum’s daily MACD has lately been showing promising signs. The moving averages are beginning to converge, setting up the potential for a golden cross. If this pattern forms, it could signal the start of a significant uptrend for ETH.
Could Ethereum post another all-time high soon? Let’s find out.
ETH Price Analysis
Ethereum’s May 27 high of $3,977 fell short of the March 11 high of $4,092, leading to a drop to the $2,820 support level by July 5. We noted that if a five-wave impulse formed from the July 5 low and broke above $3,500, it would signal the end of the corrective phase that began in March.
Instead, it got rejected, leaving the rise from July 5 to be a three-wave ABC pattern, possibly extending the corrective WXYXZ pattern with two additional waves. This means that we could have seen the completion of this corrective pattern on Aug. 5 when ETH dropped to $2,120.
The daily chart RSI fell to 21%, signaling extreme oversold conditions. After that, we saw a 28% recovery. After some downward movement over the weekend, a new green candle today returned the price to $2,700.
If the long-lasting corrective pattern from March ended on Aug. 5, we now see the first sub-wave of a new five-wave pattern.
ETH Price Prediction
Analyzing the hourly chart, the recent breakout above the descending channel formed on Aug. 9 signals a continuation of the uptrend that began on Aug. 5. This could represent the fifth wave in a classic Elliott Wave impulse pattern.
If this breakout holds and ETH moves toward the $2,800 level, we may expect a corrective pullback afterward, likely forming a higher low of around $2,380.
This would set the stage for a more significant bullish trend, potentially driving ETH to levels above $3,200.
Should this pattern evolve into a higher-degree five-wave structure, it could even pave the way for a new all-time high.
However, it’s crucial to monitor the $2,800 level for confirmation of this scenario. If ETH fails to maintain momentum and falls below key support, the bullish outlook may need reassessment.
