ETH/BTC Trading Update

The ETH/BTC pair is trading within a bullish pattern on the monthly timeframe, suggesting potential positive price movement. Buying activity is increasing as traders adopt a bullish outlook.

Ethereum’s (ETH) recent performance has been lackluster. After reaching a high of $4,100 on December 2, ETH quickly lost 20.13%, falling to $3,200, indicating persistent selling pressure.

High-Probability Setup Emerges: Will ETH Rally Soon?

The ETH/BTC pair shows signs of a potential rally with a high-probability symmetrical triangle pattern, oscillating between converging support and resistance levels. Currently, the price is at the support level, signaling a significant upward move.

Key levels to watch include: 0.0540, 0.0859, and 0.1202. As ETH/BTC trends higher toward these levels, this will positively impact the ETH/USDT price, currently at $3,200. If the rally materializes, ETH could reclaim highs around $4,000.

Sellers Are Losing Steam

Sellers appear to be losing dominance. The Relative Strength Index (RSI), previously trending downward, now reads 32.19, approaching the oversold region, indicating diminished selling pressure.

Further confirmation comes from the Chaikin Money Flow (CMF) indicator, which is trending toward positive territory, suggesting buyers are regaining control.

Accumulation Spree for ETH

Data from CryptoQuant reveals an increase in the accumulation of ETH, with a 60% rise in addresses holding the asset. These addresses now account for 16% of the total supply, indicating a significant shift in investor behavior.

Such accumulation trends are often bullish indicators, suggesting growing confidence among investors and the potential for a substantial price rally in the near future.