Ethereum price has formed a multi-month bull flag pattern on the weekly chart, with the potential for a 76% rally if a breakout is confirmed.
summary
- Ethereum price is down 16.7% from its all-time high.
- A bull flag pattern is forming on the weekly chart.
- ETH could rise by more than 70% based on the pattern’s predicted target.
Ethereum (ETH) was trading at $4,120 Wednesday morning Asian time, down 6% from Friday’s high of $4,382, according to data from crypto.news. At current prices, the stock is down 16.7% from its all-time high of $4,946 in late August of this year.
Prices fell to $3,574 over the weekend, with the overall market falling after US President Donald Trump announced new tariffs on Chinese goods on Friday. This product contains rare earth minerals and critical software, both of which are essential components of emerging technologies and AI infrastructure.
U.S. officials say talks are underway with Beijing ahead of the Nov. 1 tariff deadline, but market sentiment remains tense.
This cautious mood is clearly reflected in the Crypto Fear & Greed Index, which continues to post “fear” numbers, suggesting that investors remain in risk-off mode, at least until further clarity or concrete progress on trade negotiations emerges.
Despite cautious sentiment across the broader crypto market, Ethereum price action on the weekly chart tells a different story. From a technical perspective, ETH appears to be building a very bullish setup that, if confirmed, could pave the way for new all-time highs.
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Ethereum is currently trading within a bull flag pattern. This is a typical continuation structure and usually forms when price consolidates within a downsloping channel after a strong rise. This formation often shows the bull regrouping before raising another leg high.
Ethereum price is forming a bullish pattern on weekly chart — October 15 | Source: crypto.news
At the time of writing, ETH is retesting the lower bound of the flag near $3,875, which is acting as immediate support. Maintaining this level is very important to maintain the bullish structure.
A break above the $4,440 upper trendline would validate the flag pattern and likely continue the uptrend towards the technical target of $7,245, which would represent an ~76% upside from current prices.
Technical indicators are starting to tilt in favor of a breakout. The Arun up rate was 42.86%, while the Arun down rate was 0%. This indicates that momentum is gradually shifting from buyers to sellers and that they are starting to lose control of the market.
Furthermore, the RSI has calmed down from its previous overbought levels and is currently sitting near neutral territory, which is another bullish factor for the token and indicates that there is room for one more leg of upside before depletion sets in.
However, according to the weekly liquidation heatmap, Ethereum is likely to see some volatility on its way up. The long-term liquidation concentration zone is located between $4,100 and $4,250, indicating that this zone may act as a short-term resistance band. This zone coincides with historical breakdown levels, making it a very important spot where sellers could step in and pull back.
Source: Coinglass
If the bulls manage to regain and hold $4,250, it could be the beginning of a broader reversal. If this happens, Ethereum could break out of its recent consolidation range and target the $4,450 to $4,600 zone in the short term.
read more: Why will the cryptocurrency market crash today, October 14th?
Disclosure: This article does not represent investment advice. The content and materials published on this page are for educational purposes only.
