Ethereum Price Exit From 11-Week Accumulation Signals $3000 Breakout

Key Takeaways:

• Ethereum Price Surge: ETH rose 2% to $2,700, breaking out of a long accumulation phase.
• Bullish Outlook: If buying pressure continues, Ethereum could rally toward $3,375.
• Caution: Rising MVRV ratio signals possible short-term profit-taking.

Ethereum, the second-largest cryptocurrency, saw a 2% price surge on a low-volatility Sunday, climbing to $2,700. This rally comes as Ethereum breaks out of an 11-week accumulation trendline, signaling potential bullish momentum. Larger holders, or “whales,” continue to accumulate Ether, strengthening the chances of a breakout to $3,000 and beyond.

In this post, we’ll explore Ethereum’s technical indicators, market outlook, and potential price targets.

Ethereum Price Breakout: Key Factors Signaling a $3,000 Rally

ETH Breaks Out of 11-Week Accumulation

Since early August, Ethereum’s price has consolidated above $2,200, forming a symmetrical triangle pattern. This pattern usually indicates a temporary consolidation before resuming the previous trend.

However, Ethereum’s breakout from the upper trendline suggests a bullish reversal. As crypto market sentiment turns positive in “Uptober,” ETH has surged from $2,328 to $2,700—a 16.7% growth. Notably, Ethereum’s recovery challenges the upper boundary of the Bollinger Bands indicator, indicating strong buying pressure.

Whale Accumulation Points to Long-Term Confidence

• Whale Holdings: Large holders now control 44.6% of Ethereum’s total supply, up from previous years.
• Santiment Data: A steady increase in whale accumulation reflects long-term confidence in Ethereum’s potential.

This concentration of Ether in the hands of large holders can reduce selling pressure and support a sustained recovery rally.

Ethereum Price Predictions: Could ETH Hit $3,375?

With Ethereum breaking through resistance levels, the current bullish sentiment may push the price toward $3,000, with the next major target around $3,375.

Key Technical Indicators Supporting Bullish Momentum:

1. Symmetrical Triangle Breakout: Ethereum’s price has broken the upper trendline of a long-standing accumulation phase.
2. Bollinger Bands Indicator: ETH is testing the upper limit of this indicator, suggesting strong buyer activity.
3. Potential 26.5% Upside: If the current rally continues, Ethereum could see a 26.5% surge, targeting $3,375 in the near term.

Potential Risks: Is a Pullback on the Horizon?

While the outlook is bullish, certain indicators suggest caution. The 30-day Market Cap to Realized Cap (MVRV) ratio has spiked by 6.5%, indicating that many short-term traders are now in profit.

What Does the MVRV Spike Mean?

• Profit-Taking Pressure: A rising MVRV ratio often coincides with market tops, as traders may look to lock in gains.
• Possible Pullbacks: Ethereum may face short-term resistance around $3,000, with occasional price pullbacks likely as speculative traders sell their holdings.

Bearish Scenario: What Happens if ETH Falls?

If Ethereum fails to maintain its momentum and drops below the symmetrical triangle pattern, selling pressure could intensify, leading to:

• Extended Consolidation: A deeper retracement could push Ethereum back to the $2,200–$2,400 range.
• Increased Volatility: Expect heightened price fluctuations if ETH struggles to break through $3,000.

Conclusion: Will Ethereum Break $3,000 Soon?

Ethereum’s recent breakout from an 11-week accumulation phase and whale accumulation suggests strong upside potential. With sustained buying, ETH could rally toward $3,375 in the coming weeks. However, the spike in MVRV ratio hints at possible profit-taking, meaning traders should remain vigilant of short-term pullbacks.

For long-term holders, Ethereum continues to show promising growth as whale investors accumulate more supply. As always, investors should approach with caution and watch key resistance levels closely.