Ethereum poised to copy XRP’s 390% rally toward $7.6K next
2024.12.07 09:04
Ethereum’s native token, Ether (ETH), is mirroring XRP’s November breakout trend that resulted in a 390%-plus price boom.
XRP fractal could push ETH price toward $7,600
In November, XRP broke out of a symmetrical triangle pattern that formed over six years, triggering a parabolic rally from around $0.50 to over $2.94.
The $2.94 level aligns with XRP’s 1.618 Fibonacci retracement level, and was serving as resistance as of Dec. 7.
XRP/USD weekly price chart. Source: TradingView
Ethereum is undergoing what appears to be a similar breakout trend as XRP’s. In the week ending Dec. 8, the cryptocurrency has broken above the upper trendline of its three-year-old symmetrical triangle pattern.
If Ether price repeats XRP’s parabolic trend, it will likely climb toward the 1.618 Fibonacci retracement level at around $7,636. In other words, a 90% rally by December 2024 or January 2025.
ETH/USD weekly price chart. Source: TradingView
Ether’s weekly relative strength index (RSI), currently at around 67, further suggests that there is still room for further upside before the market reaches an overbought threshold of 70. It was around the same level ahead of XRP’s price boom.
ETH will reach $15,000 by May 2025
Market analyst “VentureFounder” predicts an “impulse breakout” next for Ethereum in the coming months.
The analyst noted similarities between Ethereum’s current setup and its 2016-2017 cycle, predicting a repeat of the explosive move that propelled ETH to new highs during that period.
ETH/USD weekly price chart. Source: TradingView/VentureFounder
VentureFounder’s ETH price target is $15,937 by May 2025, which would push Ethereum’s market capitalization above $1 trillion for the first time in history.
For this bullish scenario to play out, the analyst emphasized the importance of Ethereum holding $3,800 as weekly support. Successfully maintaining this level would increase the likelihood of retesting its all-time high of $4,878 in the short term, with further upside to follow.
Related: Ether poised to outperform Bitcoin: Bybit
Ether’s bullish outlooks appear amid a steadily increasing inflows into US-based spot Ethereum exchange-traded funds (ETFs), marking a sharp reversal from the net outflows observed during their initial launch phase.
Ethereum ETF net flows. Source: Farside Investors
As of Dec. 6, these funds held approximately $1.42 billion worth of Ether under management, a significant increase from $123 million on Nov. 22. Notably, these funds have seen consistent inflows during this period, discounting the Thanksgiving holiday.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
