If history repeats itself, the price of Ethereum’s local token ether (ETH) could rise to 13 13,000 in the next two months.
Thus shows a fractal indicator from 2017, consisting of at least four technical patterns that were helpful in raising the price of ETH above 7,000%. A similar bullish indicator flashed again in 2021 as Ether traded above $ 3,350 after a 360% upward trend for more than a year.
2017 Ethereum Fractal, explained
In detail, the four technical indicators are Stochastic RSI, Relative Strength Index (RSI), Bullish Hammer and Fibonacci Retracement Level. It started with the occurrence of a bullish hammer on Ether’s monthly chart in December 2017, a rally of 7,000% worth over the next six months.
The hammer-led massive move upward pushed Ether’s monthly RSI above 94, a highly bought zone. As a result, the cryptocurrency began to gather around to neutralize its overly bullish feelings. RSI starts to lower.
In parallel, Ether’s monthly stochastic RSI index, which compares its closing price with the price range over a period of time, also begins to revise less after identifying the cryptocurrency as an additional purchase (excess buying above 80 and excess selling below 20). ).
Later, in November 2017, the Stochastic RSI reversed the bullish with its KK line (blue), which sets the price range of the minimum and maximum height of an asset, crossing the% D line (saffron line), which is% K Its moving average. Meanwhile, the stochastic RSI reading was above 20 at the time of the flip, which raised hopes of a bullish continuation of the ether.
Subsequently, the Ethereum token rose another 500%, closing above $ 1,200 in January. This has created a double top with RSI, as shown in the chart above. The whole bottom-to-top part occurred within the range of an ascending channel, of which 23.6% acted as Fibonacci retracement level support / resistance level.
2021 Fractal recurrence so far
The steps from Ether 2017 Fractal are almost reflective as it goes into the final quarter of 2021, albeit without an order.
In detail, the Etherium token rose 400.4 million to, 4,300, sixteen months after drawing a bullish stochastic RSI cross (when it rose above the% K line to the% D line). Meanwhile, a huge reversal – again – has pushed Ether’s monthly RSI into its overbought zone.
The consolidation period, which saw Ether build a bullish hammer in July 2021, saw sellers create a price bottom.
Jaydee_757, the pseudonym analyst who first saw the Ethereum Fractal, pointed out the potential of the hammer to blow up the price of ether with an initial side upward target near the 2.618 fib line (about 13 13,000).
Related: 3 factors that could send Ethereum price for 100% profit in Q4
The bullish similarity also hinted at a potential stochastic RSI bullish cross and double top RSI, waiting to appear on Ether’s monthly chart for the next “few months”, which matched the 500% price rally in 2018. The above.
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