Ethereum’s recent decline has weighed heavily on post-trade sentiment. Price dropped below $2,000 It brought down the bar, and along with it so did a large portion of the altcoin market. This movement caused Fear and caution spread among Ethereum traders. However, some analysts believe that a bullish upside will come soon.
In a post shared on X, crypto analyst ChainHub said that the current situation is heading towards depletion and that a significant fall will be followed by a significant rise.
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ETHBTC structure is preserved
ChainHub emphasized: Despite the recent price crash, the ETH/BTC pair remains technically valid and does not show any structural invalidation. The price of Ethereum is Much lower than most expected During a crash, prices don’t continue to fall forever. He also pointed out that Fear levels are currently rising Note that although extreme environments are rarely seen, such environments always tend to appear near major tipping points. “After a big scare and a big downside comes a big upside,” the analyst said.
As for Ethereum itself, ChainHub acknowledged that losing the $2,000 handle is important, but stressed that the next major area of interest is around $1,700. This zone is Technically they match It is also possible that there is a broader correction structure and that Ethereum does not fall that far before it rebounds. However, even if Ethereum falls to $1,700, price movement reaching this region means that Ethereum has finally reached an area where buyers may begin to reassert control.
He tied this outlook to recent developments in Bitcoin. Bitcoin’s Rejected for $72,000 It opens the door to a retest of the upper end of the summer 2024 demand range from about $59,000 to $49,000.
ChainHub noted that this is the first significant interaction with its demand area since 2025, with the Fibonacci array centered around $57,000 to $58,000. This increases the likelihood that Bitcoin is in the process of forming a foundation and establishing a bottom there.
Altcoins are reaching meaningful demand levels
ChainHub also mentioned Ethereum It’s not just one company that’s doing a significant level of testing. Several major altcoins have moved into significant demand zones, including Solana and XRP. Many of these altcoins have revisited their August 2024 lows or filled previous wicks (areas not yet breached on the first attempt).
For example, Solana broke $100 For the first time since January 2024 and recently It traded as low as $75. As ChainHub noted, this move allows Solana to finally touch meaningful demand for the first time in two years.
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Dogecoin, Cardano, Avalanche fulfilled all It rallied downward on October 10, regaining balance and reaching the August 2024 low. Although there is still some limited downside potential, we expect the market to start to form a range and then open. build bullish momentum In the coming weeks.
Featured image from Unsplash, chart from TradingView
