Ethereum’s native token, Ether (Eth), fell 5.73% from the high weekend near $ 4,766, which retreated as entrepreneurs were at risk early on Wednesday’s federal reserve interest rate decision.
The pullback reflects the market care, but the bigger question is whether Fed’s Dovish Shift potential can reign the Ethereum rally and how far it will move.
ETH price can rally 45% in a breakout scenario
Ether Bulls defends the 20-day exponential transfer of average (20-day EMA; the green wave) close to $ 4,450, showing stability as markets Price to A 96.1% chance of a fed rate cut off this week, from 85.4% a month ago, with two more cuts expected at the end of the year.
The integration has become a bull pennant, a continuation pattern that usually precedes another leg higher. Volumes continue to refuse during this formation, a sign of a pennant -setup.
Related: Bitcoin, Ether can make ‘Monster Move’ in the next 3 months: Tom Lee
The chart patterns raise a move towards $ 6,750 in October, more than 45% above the current levels, if ETH closes precisely above the upper pennant trend.
This target of this reversal resembles those recently released by Tesseract CEO James Harris and analyst Donald Dean.
ETH dips are for purchase: Analysts
A failure to defend the 20-day EMA can open the door with a further decline to the area specified by the lower triangle (~ $ 4,350) and the 50-day EMA (the red wave) near $ 4,200.
But many analysts say that these denials are likely to lead to more purchases, which are at the forefront of ETH prices higher.
This includes chartist Ash crypto.
Chartist ThebullishTradr Sharing A similar view, which suggests that Ethereum can still restrace the $ 4,100- $ 4,300 “Super Trend Support” zone before presenting a higher return.
Meanwhile, analyst Luca Notes ETH has reclaimed the golden pocket (0.5-0.618 Fibonacci Retracement Line), with the price now in line with this zone and the support band of the Daily Bull Market.
The chartist sees it as a classic “breakout → retest setup,” when the price breaks into the resistance, then it will be returned to test it as support before continuing higher. He added:
“As long as the price holds above the golden pocket, I believe the most likely outcome is more reversed.”
This article does not contain investment advice or recommendations. Every transfer of investment and trading involves risk, and readers should conduct their own research when deciding.
