If this pattern is confirmed, it could signal the beginning of significant growth in the coming months.
However, at the time of writing, Ethereum is trading at $3223, reflecting a daily decline of 1.96% and a weekly drop of nearly 3%, indicating the current market uncertainty.
Technical analysis of Ethereum indicates a bullish trend
The inverted "head and shoulders" pattern, which is widely recognized as a bullish reversal structure, is becoming increasingly evident in Ethereum's price dynamics. The neckline, which serves as a crucial resistance level, is situated above the current price, near the $4,000 mark.
A breakout above this level with substantial trading volume could confirm the pattern and set the stage for significant growth.
In addition to this optimistic forecast, the Fibonacci level at 127.20% points to a target of $7442, which closely aligns with predictions based on the "head and shoulders" model.