Ethereum soars past $3,000 and is close to a historic breakout

Last night the Ethereum (ETH) update Fusaka was successfully rolled out. The update should make the network cheaper and more efficient. The ETH price now seems to be responding positively. Today the price is more than 4 percent in the green and is trading stable above the USD 3,000 limit. Technical analyst Erik Juffermans from Newsbit has delved into the graphs and shares his expectations.

Ethereum continues momentum

After a nice bottom in our purple zone, ETH also broke through a downward resistance line this week. At the same time, resistance around $3,050 was also broken and the price recorded a higher high. This means that the price has officially broken the downward trend.

The price now appears to be on its way to our first target around $3,450. This is the deep wick of October 10, when the price fell from $4,350 to $3,450 in one day.

In the longer term, the midpoint of the range at $3,850 is the price target. Then the real test will come: recapturing the psychological barrier around $4,000. However, a loss from the bottom of the range, around $2,700, would confirm a bearish scenario.

ETH is doing good business compared to BTC

Then we take the ETH/BTC graph. This chart shows the value of ETH against Bitcoin (BTC). Something very nice is currently happening on this graph, at least for the Ethereum bulls.

We see that the price has broken out of a months-long downtrend. Currently, ETH is worth 0.034 BTC. But with this breakthrough, ETH seems to be on its way back up to the peak of 0.042 BTC. This peak coincided with ETH’s all-time high around $5,000 in August.

The situation is somewhat clearer on the monthly graph. We also see a downward trend line on the monthly chart that has been providing resistance since 2022. If the price manages to break through this trend line in the coming weeks, this could be the starting shot of a nice ETH rally.

In that case, a first target would be the center of the channel at 0.050. Currently, the top of the range at 0.080 seems very far away, but even that level could be possible in the long term. At the current value of BTC, this would mean an ETH price of more than $7,000.