Ethereum (ETH) could be poised for a major price surge to $7,000 according to prominent crypto analyst Ali Martinez, who bases this bold prediction on technical chart patterns and whale activity.
Martinez identified an inverse head-and-shoulders pattern forming on Ethereum's daily price chart - a technical formation that traditionally signals a potential bullish breakout. This pattern shows three price troughs, with a lower "head" between two higher "shoulders."
The analyst notes that Ethereum appears to have completed the right shoulder of this pattern and is now approaching a key neckline between $4,000-$4,100. A decisive break above $4,100 could trigger the projected rally to $7,000, representing nearly a 100% increase from current levels.
Supporting this technical outlook is substantial whale accumulation. On-chain data reveals that large investors, known as "whales," have acquired over 330,000 ETH (valued at more than $1 billion) in just the past week. Historically, such concentrated whale buying has often preceded major price advances.
The second-largest cryptocurrency has struggled to reclaim its previous glory since dropping below $4,000 last year. However, recent price action shows signs of recovery, with ETH currently trading near $3,500, marking a 5% gain in the last 24 hours and approximately 7% over the past week.
While this prediction represents one of the more optimistic outlooks for Ethereum's near-term future, it's worth noting that cryptocurrency markets are known for their volatility and unpredictability. Investors should conduct thorough research and consider multiple perspectives before making investment decisions.