FameEX Hot Topics | Trader Says Ethereum Chart Pattern Could Trigger ‘Moon Shot’ Rally to New Highs if Confirmed

Ethereum (ETH)  opened at $1,807 on May 7 and is now close to recording its highest 7-day return of 38% since December 2020. The cryptocurrency has also surged past its realized price for accumulating addresses at $1,900, signaling profits for holders. Strong trading activity increased outflows further reflect rising trader confidence and sustained bullish momentum in the market.  

Veteran trader Peter Brandt recently highlighted a developing market structure that could lead to a major Ethereum rally if the altcoin breaks through a key resistance pattern. Brandt identified a rising wedge formation—typically a bearish signal—but suggested a breakout above this pattern could push ETH toward a descending resistance line, targeting $3,800 to $4,800. This marks a shift from his earlier 2024 outlook, aligning with renewed optimism for Ethereum.  

Ethereum futures open interest (OI) surged by 42%, rising from $21.3 billion to $30.4 billion between May 8 and May 11, 2025. This brings OI close to its all-time high of $32 billion, indicating heightened market activity and growing trader participation. The rapid increase suggests strong interest in ETH futures, which could lead to greater price volatility in the coming weeks.  

On the higher-time frame (HTF) chart, Ethereum has shown a strong recovery, climbing toward the 50 and 100-week exponential moving averages (EMAs). While this uptrend historically signals a price bottom, it may also precede a short-term correction after retesting these key EMAs. Traders are closely watching for signs of a pullback before the next bullish phase.  

Using Fibonacci retracement levels, ETH has retested the 0.5 to 0.618 range (around $2,500), marking the first leg of its recovery. However, analysts suggest a short-term pullback may occur before the next upward move. If Ethereum holds key support levels, the bullish momentum could resume, potentially pushing prices toward higher resistance zones.

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