Ethereum Price Up 7% Over Weekend — New ETH All-Time High In Sight?
All-time high for Ethereum soon?
Key Takeaways
- Ethereum nears a yearly high and may reach new peaks.
- ETH’s recent price recovery suggests a possible uptrend continuation.
- Ethereum could either reach a potential new all-time high or make a brief drop.
Ethereum reached nearly $4,000 on Thursday, May 23, but suffered a decline of 10% the next day. Since then, however it has gone up, reaching $3,950 on May 27 2024.
With its yearly high of less than 5% away, can Ethereum continue to make a new 2024 top price soon? Could it go even further, to an all-time high?
Ethereum Price Analysis
Ethereum‘s price surged from a descending trendline on May 17, escalating parabolically to reach $3,800 by May 23—a 32% increase from its recent low of $2,870 on May 13, signaling the beginning of a new uptrend.
Since this peak, it has experienced a 10% decrease, dropping to $3,520. This downturn is a corrective fourth wave within a broader five-wave pattern, which may lead to a new all-time high.
Additional sideways trading is expected before another upward move. The daily chart showed the Relative Strength Index hitting 71% on May 20, indicating overbought conditions. Moreover, the MACD indicator pointed to a potential downtrend on a four-hour chart, as its moving averages crossed downward on May 21.
Therefore, while ETH may continue its corrective phase, it is expected to remain above $3,550. But the price has already shown signs of recovery and made a slightly higher high, making two possible scenarios ahead.
Two Scenarios
Zooming into the hourly chart, we can see that the price formed an ascending triangle from its Friday low. As it approached its apex, we could see a rejection at the resistance, leading to a breakout below support.
If this happens, a bearish scenario will be more likely, with a short-term expectation of another low of $3,550. As this would mark the completion of wave four, we could start looking for arise to a new all-time high after it ends.
However, we could expect a bullish scenario if the price breaks into the upside on the triangle’s resistance. In this case, ETH price ended its corrective wave four and started this next uptrend for wave five.
Either way, it appears that Ethereum is headed to a new all-time high, above $5,000.
Disclaimers
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.
