- $ETH aims for $8,500 after recovering from December 2022 lows near $880, fueled by Bitcoin’s bullish trend.
- Analyst Astronomer highlights Ethereum’s weekly lows held six weeks, pressuring shorts and favoring gradual bullish structure.
- Market psychology and low retail engagement suggest $ETH could break $5,000, surprising many bearish investors.
Ethereum traders are paying close attention as the cryptocurrency nears key resistance levels. Analyst JAVONMARKS notes $ETH could rise from ~$1,215 to $4,811.71—and potentially reach $8,500.
Bitcoin kicked off the rally by breaking key resistance levels, and Ethereum is likely to follow. This rise reflects the market bouncing back from December 2022 lows around $880.
In addition, the structure of Ethereum exhibits greater lows in 2023 as well as 2024. The past analysis reveals a drastic turn from the bearish phase. Ethereum has been declining from ~$4,800 in November 2021 to as low as $1,215 in May 2024.
RSI varied between the levels of 30 and 70, thus validating the periods of both overbought and oversold markets. Nevertheless, the bear market lost momentum by the end of 2022, making way for the gradual reconstruction of the price levels.
Presently, the price of Ethereum is seen trading around $3,337, indicating a considerable strength level as it appears to respect the key resistance level of $4,811.71. Additionally, the high level of volatility presented by this chart makes it a lucrative environment for tactical traders.
High-Timeframe Insights and Market Dynamics
Analyst Astronomer emphasizes Ethereum’s alignment with Bitcoin’s movement, noting, “Everything other than $BTC, even the crypto community itself has given up, and prime target of forgotten assets is $ETH.”
Ethereum has stayed above its weekly low for six weeks, just like Bitcoin. This puts pressure on traders betting against it and slowly sets up a stronger upward trend.
Additionally, negative funding rates and TradFi-crypto discounts encourage buybacks, amplifying upward potential. Hence, both assets remain strongly correlated, supporting bullish projections for Ethereum.
Astronomer adds that retail sentiment remains largely bearish, yet Ethereum continues consolidating quietly. “Most ‘macro’ investors forget to track low timeframes, and likely miss out or get caught severely off guard,” the analyst noted.
This quiet buildup could spark big price moves when trading picks up, with Ethereum possibly climbing past $5,000. Often, the most ignored assets deliver the biggest surprises.
