Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Over the past week, the Ethereum (ETH) market recorded a solid positive price performance, reachingas high as $3,600. Notably, the second-largest cryptocurrency, among many altcoins, is experiencing a strong bullish momentum as evidenced by price gains of 45.48% over the last month. Amid the present market euphoria, Dutch market analyst Gert Van Lagen has backed Ethereum’s chances for sustained price gain based on an Elliott wave analysis. Related Reading Ethereum’s Rally Isn’t What It Seems — Here’s What’s Really Driving It 1 day ago Ethereum To Complete Bull Market Cycle On High Note – Analyst
The Elliot wave theory is a technical framework used to predict price targets by identifying repetitive patterns in price movements driven by investor psychology. In an X post on July 18, Van Lagen explains that this price forecast framework indicates that Ethereum may be entering the final phase of its bull market cycle, with a potential price target of $10,000.
According to the analyst, the ETH bi-weekly trading chart suggests the cryptocurrency is completing a textbook five-wave cycle that began in 2022, with the fifth and final wave now unfolding in the form of an expanding diagonal. Source: @GertvanLagen on X
For context, the Elliot wave theory identifies a single price cycle in five waves, each composed of subwaves abc. As seen in the chart above, this includes the wave I marked by an initial impulse rally, followed by a sharp corrective Wave II as seen between 2022 and 2023. Wave III is defined by explosive momentum, pushing Ethereum to new highs, before entering a lengthy Wave IV consolidation characterized by a flat correction.
Finally, there is wave V, i.e., the current status of the market, which is usually a final price surge. After breaking out of the upper boundary of the Wave 3–4, Gert Lagen explains that Ethereum is about completing subwave a of wave V following its most recent price gains.
Therefore, investors should expect a brief pullback to retest the breakout zone, which would complete subwave ‘b’. After that, a blow-off rally forming subwave ‘c’ is on the cards, i.e., a price move that could push Ethereum to the $10,000 mark based on a broader Elliott wave analysis on the Ethereum bull market stretching from 2019 to date. Related Reading Bitcoin Climbs, But NVT Indicator Sends a Surprising Signal 1 day ago Ethereum Price Overview
At press time, Ethereum is trading at $3,657, posting gains of 1.79% over the past 24 hours and 21.8% over the last seven days. However, daily trading volume has dropped by 46.03%, signaling a potential weakening in the bullish momentum behind the current price surge. Following its most recent gain, the altcoin continues to retain its position as the second-largest cryptocurrency with a market cap of $441.14 billion and 11.1% market share. ETH trading at $3,643 on the hourly chart | Source: ETHUSDT chart on Tradingview.com Featured image from Pexels, chart from Tradingview