Ethereum (ETH) Could Be a Reverse Course, Says Top Analyst; Watch These Key Resistances
The second largest cryptocurrency in the market, Ethereum (ETH), rose almost 3% on Wednesday, extending a temporary recovery that brought the altcoin to the key level of $2,160.
Market analyst Ali Martinez flagged the move as part of a potentially significant shift in Ethereum’s technical outlook, writing on social media platform X (formerly Twitter) that price action is showing “signs of a major trend reversal from bearish to bullish.”
On-Chain Signals Reinforce the Explosive Case
Martinez he pointed on the weekly altcoin chart, where Ethereum appears to be tracking an ascending triangle formation. He noted that ETH’s jump to $1,800 on February 26 coincided with the hypotenuse of the triangle—an alignment that, in past cases, has preceded a bullish continuation.
Similar patterns seen in past market cycles give investors reason for optimism. As price tightens to the top of the triangle, historical patterns suggest that a breakout to the upside is more likely.
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The analyst also highlighted the on-chain context to strengthen the bullish case. Martinez noted that market value to be a tangible value (MVRV) ratio dropped below 0.8 at the same time ETH tested the triangle support.
According to his study, that particular limit of MVRV has been accompanied by important buying signals, making the recent reset more meaningful than random jumps.
Adding to the technical issue, the SuperTrend index turned bullish for the first time since May of last year, indicating that momentum may be reversing in favor of buyers.
Martinez has previously noted in a social media analysis that this suggests that the consolidation of Ethereum or the period of accumulation may reach the end, and the support of $ 1,800 plays an important role in the situation where selling pressure appears and challenges this important level.
Ethereum Price Targets Identified
The analyst has put several price bands between the market value and the real value that can be used as points of resistance if Ethereum continues its stability in the short, medium, and long term.
Martinez said the first important target to recover was $2,356, which was not exceeded in the market surge witnessed last week. Mid-term targets at $2,647 and $3,639 followed.
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Looking ahead, the analyst identified $4,632–the last resistance before reaching the highs of $4,956–and $5,624 as long-term “expansion” areas that could indicate additional momentum.
In spite of bullish signalsMartinez was aware of the expected anger: he insisted that a full-fledged bull market has not been confirmed.
However, he asserted that the combination of technical support, the MVRV buy signal, and the SuperTrend flip represent the strongest combination of bullish indicators for Ethereum seen in a while.
Featured image from OpenArt, chart from TradingView.com
