FameEX Hot Topics | Ethereum Chart Pattern May Spark ‘Moon Shot’ Rally to New Highs, Trader Suggests

Ethereum (ETH) began at $1,807 on May 7 and is now approaching its strongest seven-day performance since December 2020, with a 38% surge. The rally pushed ETH above its $1,900 realized price for accumulating addresses—a key profitability indicator for long-term holders. Heightened trading volume rising exchange outflows further underscore growing market confidence and sustained upward momentum.  

Seasoned trader Peter Brandt noted a critical technical pattern that could trigger a major ETH rally. While a rising wedge formation often signals bearish reversals, Brandt suggested a breakout above this structure could propel Ethereum toward a descending resistance line, with a price target between $3,800 and $4,800. His updated outlook contrasts with earlier 2024 skepticism, reflecting renewed bullish sentiment.  

Ethereum futures open interest (OI) jumped 42% in just three days, soaring from $21.3 billion to $30.4 billion by May 11—edging close to its $32 billion all-time high. This surge signals intense speculative interest, which may amplify near-term price volatility as traders position for ETH’s next major move.  

ETH’s recovery on higher timeframes has brought it to the 50 and 100-week EMAs, a zone that historically marks potential trend reversals. While the move indicates a likely bottom, some analysts anticipate a brief pullback after this resistance test before the uptrend resumes.  

After retesting the $2,500 Fibonacci (0.5–0.618) zone—a critical recovery milestone—Ethereum may face temporary resistance. A minor correction could follow, but holding key support levels would reinforce bullish prospects for another leg upward, potentially targeting higher resistance areas in the weeks ahead.  

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.