Many eyes are on Ethereum (ETH), the market’s largest altcoin that has a major update ahead of it. In addition, the weekly price chart of ETH shows something interesting that some say could mean a possible rally of as much as 50%.
Ethereum Forms Double Doji
First, a bit of technical analysis. According to an analyst at Cointelegraph Ethereum forms a so-called double . on the weekly chart doji. This is a formation that can be recognized by two candles with a long wick at the top and bottom showing a degree of indecision.
According to the analyst, such a candle is a signal that, in this case, the selling pressure is easing. Based on Fibonacci retracement indicator signed from the $85 low to $4,300 high, an increase towards the target of the 0.5 Fib would be possible. In this case, it is at a price of $2,120, or an increase of 20%. Above, a possible final target is at $2,700.
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Ethereum is waiting for a big update
There are also big things planned for Ethereum on a fundamental level. For example, yesterday in the ethereum news it could be read that the project is still the important merge will test. If this goes well, we are one step closer to the big update that will turn Ethereum into a proof of stake blockchain.
Despite this update, the major ethereum funds are not yet running a storm. For the ninth week in a row, money has been flowing out of the major institutional ethereum investment funds. However, the reluctance among these funds could be a result of the above Ethereum 2.0 update, as CoinShares’ Meltem Demirrors stated yesterday.