Ethereum News Today: Ethereum's Elliott Wave 3 Targets $4,008 and $4,408 as Bulls Gain Control

Ethereum is currently navigating a potential wave 3 impulse under the Elliott Wave framework, with technical indicators aligning to support a bullish outlook. The cryptocurrency has cleared a key resistance near $3,718, initiating a breakout phase that positions $4,008 and $4,408 as primary targets. This development follows a completed wave 1 high at $3,951 and a corrective wave 2 retracement to the $3,600 zone. The current price structure suggests buyers have regained control, evidenced by sustained volume strength and a firm support level at $3,580 [1].

The wave 3 projection is reinforced by Fibonacci extensions, which map critical resistance zones. The 1.618 extension aligns with $4,008.87, while the 2.618 projection points to $4,399.66. These levels serve as benchmarks for Ethereum’s potential trajectory, assuming the wave 3 pattern unfolds without distortion. On-chain activity further validates this scenario: volume spikes coincide with breakout attempts, and the Relative Strength Index (RSI) has risen above 50, signaling strengthening momentum [1].

Price action and volume profile data highlight strategic accumulation between $3,580 and $3,720. This range has absorbed sell pressure during wave 2, with buyers consistently stepping in to reinforce structure. A horizontal support line—tested and respected during prior volatility—adds credibility to the bullish thesis. Traders are monitoring this level for a retest, which could solidify the wave 3 impulse [1].

The hourly chart reveals additional bullish signals. The stochastic oscillator has risen from oversold territory, and Ethereum is trading near the 200-period Exponential Moving Average (EMA). A recent breakout above the upper resistance trendline in the “Shakey Shakey” consolidation zone has drawn high volume interest, suggesting early confirmation of the next upward leg [1].

Analysts emphasize that a successful wave 3 completion requires strong volume and minimal overlap with wave 1 territory. So far, Ethereum has adhered to this framework, with the most recent candle confirming a move above previous lower highs. However, challenges remain: the $4,008 level represents an immediate hurdle, and the $4,399 target hinges on sustained buyer participation. Any breakdown below $3,580 could invalidate the wave 3 count, triggering a reevaluation of the pattern [1].

The ongoing price structure underscores a stair-step formation, with minor pullbacks followed by strong bullish candles. This dynamic indicates growing confidence in the trend, as Ethereum respects short-term moving averages. Volume spikes accompanying directional moves further reinforce the likelihood of reaching Fibonacci targets [1].

In summary, Ethereum’s technical setup aligns with a textbook wave 3 impulse, supported by volume, Fibonacci projections, and momentum indicators. Traders will closely watch the $4,008 threshold and subsequent levels for confirmation of the extended bullish scenario. The market’s ability to maintain structure above $3,580 remains pivotal, as it would validate the continuation of the Elliott Wave pattern.

Source: [1] [Ethereum Charts Wave 3 With Targets at $4,008 and $4,408 in Sight] [https://cryptonewsland.com/ethereum-wave-3-targets-at-4008-and-4408/]