The Ether price sits in a critical buying zone after touching historic technical levels, according to specialized reports. Analyst Onchain from the firm CryptoQuant noted that the asset traded close to the realized price of whales, a rare event that usually anticipates significant recoveries in the market.
The ETH/USD pair experienced a drastic 45% drop touching lows of $2,621 on November 21st. However, this pullback brought the valuation dangerously close to the average acquisition cost basis of investors holding more than 100,000 coins, which triggered an immediate rebound towards $3,238.
This phenomenon of convergence with the realized price is extremely unusual in the current market. In fact, only four times in the last five years has ETH traded at these key levels, and two of those occasions occurred during the severe 2022 bear market, underscoring the rarity of the event.
Recent history suggests that these support touches often trigger explosive upward movements. In April of this year, the price bounced from this same level staging an astounding 260% rally, which took the asset to reach its current all-time high, validating the critical importance of this indicator for traders.
Are we facing the clearest institutional buy signal before 2026?
The relevance of this fact lies in the defense of the price by large capitals. By sustaining the value above the realized price, unrealized losses are avoided, so this zone historically represents an unbeatable buying opportunity for long-term investors seeking strategic and safe entries.
On the other hand, the weekly chart shows a clear V-shaped technical recovery formation. Currently, the asset is testing resistance at the 50-week simple moving average at $3,300, and bulls need to push the price above this level to confirm the breakout towards the neckline.
What price targets do current technical and fundamental patterns project?
Analysts like Satoshi Flipper indicate that a falling wedge projects an imminent massive breakout. If the trend is maintained driven by treasury demand from companies, ETH could rise to $5,000 by the year 2026, further fueled by the return of flows to ETFs.
Finally, the formation of an inverse head and shoulders pattern against Bitcoin reinforces this optimism. This technical structure points to a possible 80% revaluation, which would translate to an Ether price above $5,800 in the next cycle, consolidating a bullish outlook for the coming years.
