Ethereum Price Forms Megaphone Bottom Not Seen Since 2020

Crypto analyst TradingShot has identified a megaphone bottom formation in the Ethereum price, similar to patterns observed since 2020. This pattern historically indicates a bullish outlook.

Key Points on Ethereum Price Movement

Ethereum is experiencing its first week of a rebound after three consecutive weeks of decline.
The current price action resembles the period before a significant upward breakout in March 2020.
Fibonacci retracement levels suggest a potential target of $6,000 for ETH before the cycle peaks at year-end.
Analyst Crypto Patel forecasts a possible rally up to $8,000, with resistance expected around $4,050.

Bullish Fundamentals

Exchange reserves of ETH are decreasing, indicating a limited supply which may lead to upward price movement.
Whale activity shows increased accumulation, with 360,000 ETH withdrawn from exchanges recently.
Potential supply shocks may arise from ETH ETFs, as institutional investors might stake ETH for yields if approved by the SEC.

As of now, Ethereum is trading at approximately $1,969, reflecting a nearly 2% decrease in the past 24 hours, according to CoinMarketCap data.