Ethereum price forecast in the short term

Bullish Breakout and Continuation Pattern in Ethereum Price

Ethereum (ETH) has recently demonstrated a strong bullish momentum after breaking out of a converging triangle pattern on the 4-hour timeframe, as anticipated in my previous analysis. This breakout signals renewed buying interest and upward momentum, confirming the strength of Ethereum's price action.

Breakout of the Converging Triangle

The converging triangle (Descending triangle) is a classic continuation pattern that often precedes a significant price movement. In Ethereum's case, the breakout to the upside highlights strong bullish sentiment as buyers successfully pushed the price beyond resistance levels. The breakout was supported by increasing trading volume, further validating the move.

Emergence of a Bullish Head and Shoulders Pattern

Following the breakout, a bullish inverse head and shoulders pattern has formed on the 15-minute timeframe. This short-term bullish structure, characterized by a clear left shoulder, head, and right shoulder, signals a continuation of the upward trend. Upon breaking the neckline of this pattern, Ethereum's price is likely to gain further momentum and challenge previous highs.

Outlook and Key Levels to Watch

• Immediate Target: If the inverse head and shoulders completes successfully, the measured move suggests Ethereum could advance to test significant resistance levels near its recent highs.
• Support Levels: On the downside, support can be found at the breakout point of the 4-hour triangle and the neckline of the current pattern, which are key areas to monitor for buyers stepping in.

Conclusion

Ethereum's recent price action reflects a strong bullish continuation, with breakout patterns aligning across multiple timeframes. If current momentum persists and the head and shoulders pattern confirms, Ethereum may continue its upward trajectory and test key resistance levels in the coming sessions.