- Ethereum dismantles a 4-year wedge, pointing to major price movements ahead.
- The event could push the token to $10K if momentum builds stronger.
- Analysts warn of a dip to $2.5K, presenting a buy opportunity for investors.
Ethereum has broken out of a multi-year symmetrical wedge pattern on the weekly chart, signaling market movement. The breakout, highlighted by analyst Crypto Patel, has traders speculating whether ETH will climb to $10K or dip back to key support levels. This marks a crucial development in the cryptocurrency’s price trajectory.
Source: CryptoPatel
Key Breakout Signals Major Price Shift
ETH had been settling within a symmetrical wedge since 2020, with higher lows and lower highs shaping the pattern. Crypto Patel’s analysis points to the recent breakout above the wedge, which signals developing bullish momentum and hints at a possible market trend reversal. Such breakouts often result in sharp price moves, either upward or downward.
Strong support levels forming along ETH’s upward trendline have consistently attracted buyers over the years. Additionally, ETH recently breached the wedge’s resistance point, which many traders see as a bullish indicator. However, Patel also identifies the possibility of a pullback, with ETH potentially revisiting the $2.5K–$2.8K range. This zone is considered an accumulation area for long-term investors.
$10K Target or Accumulation Opportunity
According to Patel, Ethereum has a strong chance of reaching $10K, provided it maintains its breakout momentum. To achieve this target, ETH will need sustained demand and favorable market conditions. Furthermore, ongoing innovations like decentralized finance projects and Layer-2 scaling solutions are expected to boost ETH’s appeal.
At the same time, traders remain cautious about a probable pullback. If ETH retraces to its $2.5K–$2.8K backing zone, it would likely attract financiers seeking a buying opportunity. Patel’s analysis highlights this zone as a prospective launchpad for the next bullish phase.
What’s Next for Ethereum?
ETH’s next move will largely depend on whether it sustains the surge or experiences a brief correction. Broader financial trends and investor sentiment will take roles in determining its trajectory. Whether the coin climbs to $10K or hovers near its support zone, the coming weeks will likely be crucial for its market outlook.
