As the end of the year approaches and volatility in the cryptocurrency market increases, Ethereum (ETH) beats expectations and makes significant gains. In the past 24 hours, the price of Ethereum surged 9.9% to $2,446, with the market value reaching $291 billion, achieving a major breakthrough.
Ethereum sets the stage for 2024
A recent tweet from Greeks.Live suggested that the recent surge not only pushed Ethereum past the coveted $2,400 mark, but also coincided with a rise in implied volatility (IV), hitting yearly highs. Perhaps, 30-day volatility (DVOL) has surged 70% since April.
So far, Bitcoin has been the star of the cryptocurrency market surge in the second half of last year. However, while Ethereum has made progress, it has not quite caught up with Bitcoin.
However, as we enter 2024, market experts are optimistic about Ethereum. Cryptocurrency analyst Michael van de Poppe believes that historical patterns are emerging. This pattern suggests that Bitcoin’s dominance may be at its peak ahead of the upcoming Bitcoin halving. When this happens, it usually marks the beginning of a great time for alternative cryptocurrencies, and Ethereum is poised to shine during this period.
While bullish momentum continues, Skew data shows institutional traders are yet to participate in this rally. The absence of institutional FOMO (fear of missing out) suggests a restrained approach by these major market players.
Technical Pattern Sees ETH Soaring
Meanwhile, the price of Ethereum recently rose to $2,433, breaking the important $2,334 mark. This particular price level is crucial because it correlates with a well-known bullish pattern known as the inverse head and shoulders pattern.
Typically, a head and shoulders pattern indicates that prices are likely to fall, but an inverse head and shoulders pattern does the opposite. This pattern indicates a change in direction and is formed by three lows and two highs.
For Ethereum (ETH), the height of the head implies upside of $218, with a price target of $218, above $2,334. This brings the expected gain to $2,551, an increase of 9.3%. Judging from the 8-hour chart, Ethereum has broken through the neckline and met the morphological criteria, indicating that there is still room for further growth.
According to Coinpedia, ETH is currently trading at $2,404, with the potential for ETH to rise another 5% before reaching the target price. If this happens, a breakout of the target could send Ethereum surging towards $3,000.
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