Is Ethereum Capable of Reaching $3.3K? Latest Insights Indicate…
The price of Ethereum (ETH) has shown impressive strength in the face of widespread Fear, Uncertainty, and Doubt (FUD) over the past few months. This top altcoin managed to gain 12% in its most recent recovery, climbing from the $2.3K support level to a peak of $2.6K.
Notably, analyst Peter Brandt sees the potential for ETH to surge even higher as it forms an inverse head and shoulders pattern, a bullish signal of a possible trend reversal.
Is a $3K breakthrough possible for ETH?
In many instances, when a breakout occurs above the resistance point at the neckline ($2.7K) in a head and shoulders pattern, the price target could be equivalent to the distance between the head and the neckline.
For Ethereum, this would translate to around $3.3K. This projected target aligns with a bearish Order Block (OB) and a level of resistance highlighted in white.
Nonetheless, the demand for ETH still appears relatively weak, potentially causing a delay in Brandt’s prediction. The Coinbase Premium Index, which measures the interest of U.S. traders in ETH, has been consistently negative since late September.
Historically, increased demand from U.S. investors tends to coincide with significant positive price movements for ETH. Whether the recently unveiled roadmap by Vitalik Buterin for Ethereum will sway market sentiment remains uncertain.
On another note, the options market seems less confident in ETH breaking the $3K mark before the U.S. elections in November. According to data from Deribit, the likelihood of Ethereum reaching $3K by the end of October was only about 8.6%, whereas this probability increased to 31% by November.
In essence, the options market data implies a higher possibility of ETH experiencing a breakout post the U.S. elections.