- Ethereum saw a massive rally today that has allowed its price to firmly break above $600, which has long been a resistance level
- Following the break above this resistance, the cryptocurrency rallied as high as $630 before its rally got overextended and resulted in it retracing down towards $615
- It is recovering from this pullback, but the price just above where it is currently trading at may persist as a strong resistance level in the short-term
- Because ETH is largely correlated to Bitcoin, the benchmark crypto should continue guiding its overall trend
- One trader is now noting that this rally marked a break above a long-held triangle formation – suggesting further upside is imminent
- The crypto is also being added to the CME Futures in February, which means that further upside is likely imminent
Ethereum’s price is currently rocketing higher alongside Bitcoin and the rest of the crypto market. Although it did post what could be considered a blow-off top at $630, its recovery in the time since is promising.
This rally came about shortly after the crypto broke above a bull-favoring triangle pattern that it had been forming. Analysts are now expecting it to see further mid-term upside.
Another event that may influence its price in the near-term is the addition of ETH futures to the CME – which is widely seen as a sign of imminent institutional adoption.
Ethereum Breaks Out of Bullish Triangle Pattern
At the time of writing, Ethereum is trading up just over 5% at its current price of $619. This marks a slight decline from highs of $630 but a notable rise from its $580 daily lows.
This rally came about in tandem with that seen by Bitcoin and may have been bolstered by a break above a bullish triangle formation – as one analyst had pointed to just an hour before the rally took place:
Image Courtesy of Teddy. Source: ETHUSD on TradingView.
ETH Gains CME Futures Listing
One notable development that could hold some influence over Ethereum’s price action in the months ahead is the recent listing it garnered on the CME.
ETH futures will be available to users on the platform come early-February, with this widely being viewed as a bullish event due to it offering an easy gateway for funds and institutions to trade the crypto.
The culmination of Ethereum’s technical strength, coupled with the bullish CME news, could lead ETH significantly higher in the coming two months.
Featured image from Unsplash. Charts from TradingView.
