Ethereum Pre-Merge Pattern and Post-Merge Pattern
Understanding Ethereum's (ETH) price action before the merge event can give us further insight into what may lay ahead. Chart patterns are real, and the historical price action tells us they are repetitive. Based on the price action structure, it appears we're in the process of developing a Zig-Zag pattern, which is a price sequence where the first leg and the last leg are more or less similar.
Ethereum Pre-Merge Pattern
Based on the Elliott Wave analysis, Ethereum is forming a zig-zag pattern in the cycle from the mid-June low. In the first leg up (wave A), the price shows a five-wave price structure. The price then retraced in wave B, bottoming at the $1,424 low.
The current price action structure suggests ETH's price is calling for further strength as long as the $1,424 low holds the downside. It may be that post-merge, ETH's price will surge to complete wave C of the zig-zag pattern.
Wave C should have the same internal 5-wave price structure as wave A, which, if it transpires, should call for further strength above the $2,000 psychological level.
Looking forward: The next big hurdle once the $2,000 level is cleared is the 200-day simple moving average, which currently stands at $2,080. If wave C equals wave A, then we can potentially see ETH's price hitting $2,500 during the current bull run.
Ethereum Pre-Merge Pattern
Based on the Elliott Wave analysis, Ethereum is forming a zig-zag pattern in the cycle from the mid-June low. In the first leg up (wave A), the price shows a five-wave price structure. The price then retraced in wave B, bottoming at the $1,424 low.
The current price action structure suggests ETH's price is calling for further strength as long as the $1,424 low holds the downside. It may be that post-merge, ETH's price will surge to complete wave C of the zig-zag pattern.
Wave C should have the same internal 5-wave price structure as wave A, which, if it transpires, should call for further strength above the $2,000 psychological level.
Looking forward: The next big hurdle once the $2,000 level is cleared is the 200-day simple moving average, which currently stands at $2,080. If wave C equals wave A, then we can potentially see ETH's price hitting $2,500 during the current bull run.