Ethereum (ETH) Price Reaches $3,100 as Overbought Signals Appear

Key Takeaways

• ETH tests support at $2,450, aiming for a potential breakout.
• Symmetrical triangle suggests bullish continuation to $3,460 target.
• A new all-time high is possible if the current uptrend sustains momentum.

Ethereum (ETH) has recently been consolidating near-critical support before breaking above the symmetrical triangle resistance.

After a 38% rally to $3,260, the asset is positioned for more upside potential to new highs as it continues its larger five-wave bullish pattern.

ETH Price Analysis

Ethereum’s bullish trend began in June 2022, rising from under $1,000 to $2,000 by August. A significantly higher low at $1,180 in November initiated a five-wave pattern, pushing ETH to over $4,000 by mid-March 2024—a 265% increase.

After this peak, ETH’s price entered a bearish phase, dropping 48% to $2,150 by Sept. 6, likely marking the end of the fourth corrective wave in this cycle.

Also, the daily Relative Strength Index (RSI) suggested that this low might signal the end of the correction, hinting that the fifth wave could be underway. Therefore, this could potentially drive ETH to or beyond its all-time high of $4,800. 

Since Aug. 5, ETH has been consolidating near a key horizontal level, forming a symmetrical triangle that often points to a bullish breakout.

On Nov. 4, ETH tested its ascending support and initiated the current uptrend that brought the price up by 38% to a high of $3,260 yesterday, Nov. 10. 

Additionally, traders are currently trading it slightly lower, as the daily chart suggested it became overbought, with the Relative Strength Index (RSI) signaling this.

Does it have more room for growth? 

ETH Price Prediction

The hourly chart shows that ETH’s rise from Aug. 5 to 24 was likely its first sub-wave in the starting bull phase.

The symmetrical triangle formed an ABCDE pattern, and analysts anticipated a breakout to the upside as the third sub-wave of the larger five-wave pattern.

Measuring with the Fibonacci extension tool, we set a target of $3,460 for the 1.618 line. As the price is still upward, further upside could be seen to the projected target.

Traders have spotted some signs of weakness, but this could be a temporary halt instead of a major turning point.

If ETH initiates a new bull cycle, the price is expected to continue its upward trajectory to a new all-time high. Therefore, this is why the target of $3,460 would only be the first, bringing our projection closer to confirmation.

Upon reaching it, the price should continue for one higher high, around $4,000. Finally, the first lower-degree five-wave pattern is developed in a larger uptrend. 

About the Author

Nikola Lazic

Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis. Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information. Expertise: Cryptocurrencies, Technical analysis, Elliott Wave Theory, On-chain metrics, Research reports.

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