Ethereum’s native token, Ether (ETH), mirrors the breakout trend in XRP in November that resulted in a price boom of over 390%.
XRP fractals could push ETH price towards $7,600
In November, XRP broke out of a symmetrical triangle pattern that had been in place for six years, triggering a parabolic rally from around $0.50 to over $2.94.
The $2.94 level coincides with XRP's 1.618 Fibonacci retracement level, which was acting as resistance as of December 7th.
XRP/USD weekly price chart. Source: TradingView
Ethereum is experiencing what appears to be a breakout trend similar to XRP. During the week ending December 8, the cryptocurrency broke above the upper trendline of a three-year symmetrical triangle pattern.
If Ether price repeats XRP’s parabolic trend, it could rise towards the 1.618 Fibonacci retracement level near $7,636. That means it will rise 90% by December 2024 or January 2025.
ETH/USD weekly price chart. Source: TradingView
Ether’s weekly relative strength index (RSI) is currently around 67, suggesting there is still room for further upside before the market reaches the overbought threshold of 70. It was at about the same level prior to the XRP price boom.
ETH expected to reach $15,000 by May 2025
Market analyst VentureFounder predicts Ethereum’s next “impulse breakout” to occur in the coming months.
The analyst noted similarities between Ethereum's current regime and the 2016-2017 cycle, predicting a repeat of the explosive moves that drove ETH to new highs during that period.
Weekly price chart of ETH/USD. Source: TradingView/VentureFounder
VentureFounder's ETH price target is $15,937 by May 2025, which would push Ethereum's market cap above $1 trillion for the first time in history.
The analyst emphasized that for this bullish scenario to play out, it is critical for Ethereum to hold $3,800 as weekly support. A successful hold at this level would increase the likelihood of a near-term retest of the all-time high of $4,878, with further upside expected thereafter.
Related: Ether poised to outperform Bitcoin: Bybit
The bullish outlook for Ether comes amid steady increases in inflows to the U.S.-based Spot Ethereum Exchange Traded Fund (ETF), marking a sharp reversal from the net outflows observed during its early launch phase. are.
Ethereum ETF net flows. sauce: far side investor
As of December 6th, these funds had approximately $1.42 billion worth of Ether under management, a significant increase from $123 million on November 22nd. Notably, with the exception of the Thanksgiving holiday, these funds saw consistent inflows during this period.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk and readers should conduct their own research when making decisions.
