Ethereum (ETH) showed a two-phase market movement in the past week rising more than 9% to reach a regional peak of $2,711 on October 30, before falling by almost the same amount. With the prominent altcoin now hovering around the $2,500 price tag, crypto analyst Ali Martinez has highlighted an important market trend that could ignite a price comeback.
Ethereum Buy Signal Based on Key Price Support
In X’s post on November 1, Martinez said that TD Sequential showed a buy signal on ETH’s 4-hour chart. In context, the TD Sequential indicator is commonly used in trading to indicate potential turning points in price trends and provide signals of the end of a trend or a potential price reversal.
Following Ethereum’s decline over the past 48 hours, TD Sequential has flashed a buy signal, indicating a possible price recovery on the horizon. However, Martinez says that for this bullish signal to prove true, Ethereum must remain above the $2,480 support area.
A potential price drop below this support level would lead to a further drop to $2,200, which represents a potential 12% drop from the token’s current price. However, Ethereum is expected to return to $2,700 if the mentioned support area holds.
Interestingly, market analyst Michaël van de Poppe has provided important insights into Ethereum’s price if this successful price recovery occurs.
In an article written on X, van de Poppe applauds the resilience of Ethereum despite the persistent increase in US job losses as revealed by the latest unemployment data from the Bureau of Labor Statistics. He also notes that ETH has been market bound in the $2,200-$2,700 range since August. However, van de Poppe says that if Ethereum returns above $2,700 in the next two weeks, the altcoin may rise to $3,200 in the next few weeks, finally breaking the consolidation.
In addition, the crypto analyst continues to reiterate his predictions for Ethereum to overtake Bitcoin in the coming months as the latter nears its dominance peak. Ethereum is expected to lead the “altcoin era” with predictions of hitting a five-digit value in the next few months.
ETH price overview
At the time of writing, Ethereum continues to trade at $2,514 following a slight decline the previous day based on data from CoinMarketCap. Meanwhile, the altcoin reports gains of 2.09% and 6.06% in the last seven and thirty days, respectively. The daily trading volume of ETH also increased by 4.70% approaching the value of $20.85 billion.
