Ether’s (ETH) price action is forming a bullish setup that mirrors bitcoin’s (BTC) trajectory ahead of its recent record-breaking rally.
A review of ETH’s three-line break chart—a tool designed to remove minor price fluctuations—shows a decisive end to an eight-month downtrend of lower highs and lows. This breakout signals a potential continuation of the larger uptrend that began near $1,500 in October 2023.
Such patterns often act as catalysts for significant price movements, as they attract fresh buying interest and force bearish traders to exit, intensifying upward momentum.
Bitcoin experienced a similar technical breakout in October, which preceded its explosive climb to over $96,000—a 45% rally from its earlier high.
Ethereum’s fundamentals further bolster its bullish case. Network data highlights increased activity from layer-2 protocols, which has driven up ETH burns and reduced the available supply. Meanwhile, institutional adoption is picking up speed, with U.S. spot ether ETFs logging their largest inflows to date. These combined factors suggest ETH could be on the verge of a substantial rally.
