cryptopotato.com
Ethereum has moved back above a key technical level against Bitcoin — the 50-week exponential moving average (EMA), which has marked the start of previous rallies.
At press time, $ETH is priced at $3,530 with a 24-hour trading volume of nearly $38 billion. It has gained 2% in the past day and 5% over the last week.
$ETH/$BTC Moves Above Key Weekly Average
Ethereum’s strength against Bitcoin is being watched after reclaiming the 50-week EMA. In past cycles, this signal has marked the early stages of $ETH bull markets. The same pattern appeared in early 2021 before Ethereum’s rally to all-time highs.
Chart data from Merlijn shows this recurring setup. Previous breakdowns below the 50 EMA in 2018 and 2022 were followed by prolonged declines. $ETH is now back above this line. “A bullish retest here… and it’s game on,” he said, noting that if the level holds, it could mark the start of a new trend.
Moreover, Ethereum recently dropped from nearly $4,960 to a low of just over $3,000. As CryptoPotato reported, that move resembles the 2020 decline before $ETH started a major rally.
Ethereum Price Builds Base Around Key Range
Technical analysis shared by Marzell points to a possible long setup forming between $3,336 and $3,400. Ethereum is trading inside this range now. The zone also matches commonly tracked Fibonacci retracement levels.
Targets on the chart include $5,982, $6,738, and $7,200. The setup assumes $ETH stays above the $3,000 level. The chart also shows a long-term breakout from a downtrend line, which Ethereum appears to be retesting. If it holds, the trend may continue higher into 2026.
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Short-Term Breakout Signals Possible Rally
A falling wedge pattern has also formed on the 4-hour chart, according to analysis from Joe Swanson. The breakout occurred near $3,560. $ETH is now trading slightly above that level. This pattern has a measured target near $4,415. Pointing to a potential move by mid-December, Swanson said,
“A decisive move could trigger a 25% rally.”
The 200 EMA near $3,790 may serve as the next resistance level.
Meanwhile, data shows that about 413,000 $ETH has been withdrawn from Binance in a single day. This marks the largest daily outflow since February. When coins move off exchanges in large amounts, it’s often linked to long-term holding behavior.