Ethereum has stark similarities to gold’s multi-year price structure between 2019 and 2024 on the charts. The analysts see it as forming the same five-point structure gold had before the explosive rally this year. These are two short-term highs, two large pullbacks, and a curved base developing before the breakout.
Ethereum’s chart is already showing this form, the low just below \$1,600 having taken place and the price rebounding sharply. The technical annotation is pointing to Ethereum approaching the \$3,000 to \$3,500 range, the former breakout level of gold. Gold finished this formation before 2024 by rising above \$2,100 and advancing more than 60% to trade higher than \$3,400.
Another fractal pattern adds strength to its current technical outlook, making a solid case for higher future prices. This second setup involves a consolidation phase, a fast drop shaking out late buyers, a breakout move, and then a steep vertical rise.
Ethereum Gains Momentum Against Rival Coins
Ethereum followed this model during its 2017 rally when it surged from under \$10 to over \$1,400 in less than a year. Technical analyst Crypto Eagles now views Ethereum within the same framework, oscillating between \$1,600 and \$4,000 before it possibly bursts higher. If the chart is to go along this trajectory, the price has the potential to rally to the \$5,000 to \$6,000 mark this next cycle.
Ethereum’s fundamentals have also improved immensely since 2017, substantiating this estimate with better market conditions and greater utility. Market sentiment is backing the case for this technical outlook since Ethereum has been outperforming other large coins, including Solana.
Capital has turned back to Ethereum since the deflating bubble connected to the hype surrounding the memecoins and the deterioration of the SOL/ETH ratio. The institutions are also interested, with those focused on Ether attracting \$321.4 million in just the last week of May.
This represented the biggest inflow seen across all the cryptocurrencies and indicates increasing confidence around the long-term prospect for Ethereum. If both the fractals keep unfolding along their expected paths, Ethereum is soon to target new all-time highs beyond the \$6,000 mark.
