Ethereum rallies 40% as bullish fractal pattern emerges

Ethereum has recently shown signs of a potential rally, as it retested the $2,500 support level and held firm. This move echoes a bullish fractal pattern observed earlier in 2024, which led to a significant breakout toward $4,000. The weekly candle patterns are now signaling rising buyer strength and a possible continuation of the rally.

Ethereum’s price action has produced a weekly candle closely resembling its early-year breakout. This earlier fractal took ETH from the $2,500 range to near $4,000 within weeks. The structure signals aggressive buyer activity around current support, potentially setting up another upward leg. Traders are now eyeing the $3,200 to $3,500 region as the next challenge, which could either slow down the move or pave the way for a retest of the $3,900 to $4,000 resistance zone. The latter remains a key macro supply level that capped gains earlier this year.

ETH’s total market cap recently reclaimed the $345 billion mark, following a breakout from prolonged consolidation. This reinforces the bullish setup and suggests market readiness for a broader price expansion. The ongoing Wyckoff reaccumulation pattern indicates that momentum is building fast. Whale activity has also returned, with one high-profile wallet reportedly accumulating 16,500 ETH after a profitable exit. Meanwhile, open interest in ETH has hit an all-time high, reflecting surging participation and positioning strength relative to Bitcoin.

As Ethereum maintains structure above the $2,500 support level, technical indicators point toward sustained upside. Market confidence appears to be growing, with rising volume and renewed capital inflows. Should this fractal continue unfolding, a retest of yearly highs remains within reach, keeping ETH in the spotlight.