Ethereum breaks multi-year triangle, trading above $4K with technicals signaling potential new highs.
Institutional ETH holdings surge 127% in July, supported by ETF inflows and rising on-chain activity.
ETH/BTC ratio jumps 38% in 30 days, boosting Layer 2 ecosystem performance potential.
Ethereum has moved beyond key resistance levels after years of gradual upward consolidation. The breakout has renewed market confidence, with technical and on-chain indicators aligning for further upside. At the time of writing, ETH trades at $4,206, marking a 7.63% daily increase.
Breakout From Multi-Year Triangle Pattern
Ethereum has traded within a broad ascending triangle pattern since 2018, according to an observation by Captain Faibik. The lower trendline shows higher lows, while the upper trendline near $4,000 was tested multiple times between 2021 and 2024 without breaking. Recent weekly candles have now closed above this resistance.
https://twitter.com/CryptoFaibik/status/1954050287271874952
The breakout level has been retested as support, with price consolidating above $4,000 before the latest upward phase. On the 4-hour chart, ETH trades above all major exponential moving averages, including EMA20 at $3,749 and EMA200 at $3,623.
Bollinger Bands are widening, showing rising volatility as buying pressure holds. Daan Crypto Trades noted that Ethereum is attempting a breakout and is trading at new cycle highs. Daily and weekly closes above this level would set up a move to new all-time highs.
Strong Fundamentals and Market Participation
Ethereum processed 1.74 million daily transactions on August 5, surpassing the peak of the 2021 bull market. Institutional holdings have surged 127.7% in July to over 2.7 million ETH, boosted by ETF inflows. Derivatives market activity has also increased.
Data from Coinglass shows open interest rising 11.15% to $58.25 billion, while options volume climbed 72.10% to $3.43 billion. Top trader positions on Binance ETH/USDT show a long-to-short ratio of 3.03, indicating a strong bias toward further gains.
The ETH/BTC ratio has risen 38% in 30 days, reflecting Ethereum’s growing strength relative to Bitcoin. Analysts suggest this could also support performance across Ethereum Layer 2 ecosystems such as Arbitrum and Optimism.
The post Ethereum Breaks Multi-Year Triangle, Setting the Stage for a Push Toward All-Time Highs appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.
