Ethereum’s native token rode the sub-CPI crypto rally like very few did, pumping toward a six-week peak of roughly $1,950. This means that it had recovered nearly 30% in value since its multi-year peak at $1,510 was reached weeks ago.
However, its run was halted at that level, and the asset now stands below $1,900. According to popular analyst Crypto Rover, this minor rejection might be just the beginning.
Another Major Leg Down?
While observing ETH’s more macro picture, the market commentator outlined a rather interesting pattern that the asset tends to follow – a very precise 1,369-day repeating occurrence that drives it up and down.
Rover speculated that “Ethereum may be heading for its biggest crash yet,” as this historical pattern maps out two “devastating sell-offs” incurred at approximately this time of each cycle. They both began after similar rallies like the 30% surge in the past couple of weeks, but the subsequent rejections pushed the altcoin south to new local lows.
If the analyst’s scenario plays out again, ETH could dump again to and even below $1,500, which would mark a new multi-year low. The other side of the coin of this pattern shows a spectacular long-term run would be in the making following this capitulation. Rover’s analysis outlined some massive targets of somewhere around five-digit territory at $10,000.
Maybe Bottom Is In, Though
Fellow analyst Michaël van de Poppe also weighed in on ETH’s impressive move above $1,900, calling it “phenomenal.” However, he doesn’t see such a doomsday scenario as Rover. Instead, he said he doubts there will be “a lot more new lows coming in on the markets,” as the on-chain data he reviews points in the opposite direction.
“There’s a lot more upside going to come on this one, and I think it’s simply in a ‘buy-the-dip’ regime,” he added.
His focus was more on ETH’s short-term performance, and the chart he listed envisions targets of around $2,500-$2,700 by the start of Q4.
Source: CryptoPotato
