Ethereum is showing signs of a potential short-term bottom reversal on its daily chart. The cryptocurrency appears to have formed a classic double-bottom pattern near the $1,510 support level. Just two days ago, ETH broke above the $1,842 neckline resistance after a period of consolidation. At press time, the coin was trading at about $1,883, marking a 6.88% gain in the last 24 hours.
According to veteran chartist Aksel Kibar, this technical setup projects an upside target of $2,163. That figure is calculated from the pattern’s move from the double bottom to the neckline. Kibar had made a similar short-term bullish prediction just three days ago, suggesting continued momentum in the reversal.
Support from Trendlines and Fundamentals
Adding to the bullish case is a rising multi-month trendline showing higher lows between February and May. This trajectory points to consistent buying by traders even as prices rise, which could reinforce the upward thrust.
On the fundamental side, EthSystems — a spin-off from the Ethereum Foundation — recently launched as an independent for-profit research and engineering company. The move was met with optimism from the Ethereum community, as it signaled the network’s commitment to bringing blockchain privacy to heavily regulated institutions.
Today’s cooler-than-expected inflationary data also encouraged investors to flow into crypto assets. Beyond retail interest, institutional accumulation continues. Bitmine Immersion Technologies now holds 5.77 million ETH tokens, accounting for about 4.8% of the circulating supply.
Key Levels to Watch
Traders should keep an eye on the $1,842 to $1,850 range, which is the double-bottom neckline resistance. A drop below this level could invalidate the bullish setup. Additional resistance sits between $1,900 and $2,000, marking the highs hit between May and June just before the sharp decline.
If ETH can break above both these zones with rising trade volumes, it could open the door to the $2,163 target. However, caution is warranted, as the market remains volatile and patterns can sometimes fail.
