- The wave pattern forms clearly as price holds above the support and signals a move toward $3,446 soon.
- Momentum builds as ETH rebounds from $2,975 with strength seen across volume and Fibonacci targets.
- $3,030 acts as the deciding zone where bulls need to maintain support to keep rally chances alive.
Ethereum (ETH) is signaling a possible bullish continuation, with current price action indicating a projected move toward $3,446. A recent technical setup on the 30-minute chart reveals an impulsive wave structure backed by a strong ending diagonal and Fibonacci alignment. The crypto asset is trading around $2,982, with technical indicators supporting a bullish wave count.
Elliott Wave Signals Upside Momentum
The chart displays a classic five-wave impulsive pattern, with a completed first wave followed by a corrective wave two. Wave (2) appears to have bottomed out just above the $2,900 support region, aligning with the 200 EMA and the prior wave four territory of the last impulse.
The Fibonacci retracement tool shows the corrective wave (2) retraced near the 0.618 level at $3,071, indicating a healthy pullback. This level also coincides with a visible volume cluster zone near $3,030, suggesting strong interest from buyers. Volume Profile indicates thick participation at these levels, strengthening the case for a wave (3) launch.
The bullish projection shows wave (3) reaching the 1.618 Fibonacci extension at $3,253 and possibly the 2.618 level at $3,446. These levels represent critical resistance zones if price continues to follow the Elliott Wave progression. Short-term targets may also include $3,139 and $3,071.
Technical Indicators Reflect Strong Support
Momentum indicators support the bullish structure. The RSI on the lower panel shows signs of reversal from oversold territory, currently pointing upward. This suggests improving strength and momentum.
The Stochastic RSI also reflects a near-term bullish crossover, with both K and D lines turning upwards. This pattern commonly appears at the start of new impulsive waves. Additionally, moving averages are aligned bullishly, with the 20 EMA above the 50 EMA and price hovering around the 200 EMA.
The market structure highlights a breakout from the previous correction labeled as wave B, with a likely start of a third wave impulsive rally underway. The chart includes small subdivisions of minor waves within wave (3), indicating intricate wave behavior and validation of Elliott count precision.
Price has also broken out of a wedge pattern marked by an “ending diagonal” during the prior move. This pattern typically suggests exhaustion of selling pressure and often leads to a strong price reversal in the opposite direction.
Can Ethereum Sustain Momentum Toward $3,446?
Volume Profile bars on the right highlight major demand areas between $2,975 and $3,030. A sustained hold above these levels may fuel further upside toward the projected Fibonacci zones.
The presence of overlapping corrections marked a-b-c within wave (2) shows that buyers successfully absorbed supply, stabilizing price above the critical demand zone. The correction structure appears complete, opening the door for bullish continuation.
Projected targets include $3,139, $3,253, and $3,446, each corresponding to Fibonacci extensions of wave (1). If momentum sustains, price may reach these targets before encountering major resistance.
The upcoming price action will reveal whether Ethereum can maintain its trajectory toward higher Fibonacci levels or retrace further. Traders will likely monitor the $3,030 zone closely, as it remains the pivotal range for confirmation.
