- Ethereum price is on the verge of executing one of the most powerful bullish breakout signals since October 2021.
- A new phase of ETH growth is expected to be announced soon.
- Downside risks remain a worry, although the extent and breadth of any decline have been significantly reduced.
Ethereum price movement remains optimistic, with strong purchasing pressure pushing the cryptocurrency close to yesterday’s high. However, more crucially, Ethereum is on the verge of executing an extraordinarily bullish breakout signal in the Ichimoku Kinko Hyo system.
The Ethereum price is expected to touch $3,300 and eventually $4,500.
During the intraday session, the Ethereum price movement met all of the conditions for an Ideal Bullish Ichimoku Breakout. The daily closure, on the other hand, is the most significant and needed. ETH must close at or above $2,985 to confirm an Ideal Bullish Ichimoku breakout.
If bulls can push the price of Ethereum above the daily Ichimoku Cloud, it would be the first verified Ideal Bullish Ichimoku Breakout since October 13, 2021. Following the entrance in October 2021, Ethereum rose about 35% to a new all-time high of $4,864 from the breakout close of $3,607.
The 38.2 percent Fibonacci retracement around $3,300 will be the first barrier zone that Ethereum price would face if it closes above the Ichimoku Cloud. Following that is the weekly Kijun-Sen and the 100 percent Fibonacci expansion, both of which are at $3,500. If the bulls can break through $3,500, the road will be generally clean and open until the 161.8 percent Fibonacci expansion at $4,550.
However, the dangers of the downside should not be overlooked. A weekly candlestick close above $3,044 – the top of the weekly Ichimoku Cloud (Senkou Span A) – is the most critical price level that Ethereum must achieve. Failure to close over Senkou Span A may indicate a fake-out move higher, providing bears with a strong reason to continue selling pressure on Ethereum.