Ethereum Repeats Early 2024 Scenario: Is the $3,800 Target Within Reach?

This week, Ethereum regained the $2,600 support level for the first time since February and is attempting to retest the next key resistance level after breaking out of the short-term pattern. Some analysts believe that ETH's rally could target the Macro Range highs in the coming weeks. Ethereum Similar to Setup in 2024 After struggling to break through the $2,600 mark, Ethereum has regained this level as support. Over the past two days, the second-largest cryptocurrency by market capitalization has held this important level while trying to break through the $2,700 mark. Since recovering from a drop below $2,000 earlier this month, ETH has fluctuated between $2,400 and $2,600, failing to reclaim the upper zone of the range despite reaching a multi-month high of $2,738 on May 10. However, the bullish movement this week has seen this cryptocurrency break out of the local zone and attempt to gain additional strength to prevent a sideways trajectory and continue the 50% recovery. Analyst Titan of Crypto notes that ETH has just escaped a bullish flag lasting two weeks, leading to today's price surge to $2,788. He believes that if the breakout is confirmed, the target of the model will be at $3,800. Crypto Jelle points out that Ethereum "is still moving according to plan, making deeper inroads into the resistance zone" around the $2,850 mark. Some analysts have labeled this level as the resistance level before the $3,000 mark and the wall "hindering altseason." Rekt Capital emphasizes that Ethereum has successfully retested an important horizontal support level since returning to the macro zone of $2,220-$3,900. Notably, Ethereum has closed above the $2,468 level for the past four weeks, setting the stage for a "bullish breakout."

With this successful retest, the King of Altcoin is "repeating the history of early 2024". Notably, ETH recorded a 50% breakout in the four weeks after breaking the resistance level of $2,486 and retesting this level as a support level. However, "the only difference is that this time it took longer," the analyst added. ETH Bullish Meanwhile, analyst Ted Pillows believes that ETH is demonstrating strength as its trading pair with Bitcoin (BTC) gains momentum and BTC's dominance seems to be fading. The analyst also noted the weekly bullish MACD of ETH and its recovery of the multi-year support trendline. Based on this, he predicts that Ethereum could soon surge to the resistance level of $4,000. It is noteworthy that Ethereum is outperforming this leading cryptocurrency this quarter for the first time since 2022, recording a bullish of 45% since April 1. Additionally, ETH continues to hold above its important level despite BTC dropping below the support level of $106,800. Merlijn The Trader emphasized the price movement of ETH after the golden cross, which seems similar to the price movement of the previous setup. According to the post, during the setup process in November 2024, Ethereum experienced a slight decline before a "big pump" on the eleventh day. "This time? The pump has already started. We are on track," the trader asserted.

At the time of writing this article, Ethereum is trading at $2,642, up 44.7% compared to the monthly timeframe.