Ethereum Breaks Out of Bullish Wedge, Analyst Targets $6,870 Long-Term

Ethereum confirmed a breakout from a Descending Broadening Wedge pattern, supported by growing volume and positive market sentiment.

Analyst Alex Clay outlined bullish Fibonacci-based targets, placing Ethereum’s next stops at $4,885, $5,625, and $6,870.

Ethereum currently trades at $2,940.20, with a 7.45% weekly gain and strong momentum holding the $3,000 support level.

Ethereum is showing renewed bullish momentum, backed by clear technical signals and sustained price strength near the $3,000 level.

Ethereum Breaks Out of Descending Broadening Wedge

A recent post by crypto analyst Alex Clay (@cryptclay) pointed to a textbook Descending Broadening Wedge on Ethereum’s weekly chart. According to Clay, this is one of the most bullish continuation patterns in technical analysis. He emphasized that Ethereum is no longer undervalued, stating that the breakout above the $3,000 resistance zone signals a strong shift in momentum.

The wedge structure formed from Ethereum’s 2022 lows to mid-2024, creating a long base of accumulation. Clay stated the breakout was supported by both volume and improving market sentiment. The $3,000 zone, once resistance, is now turning into a psychological support level as the market repositions.

Fibonacci Extensions Set New Long-Term Price Targets

Clay outlined a technical roadmap using Fibonacci extensions to project Ethereum’s long-term trajectory. His first target stands at $4,885, which coincides with Ethereum’s previous all-time high zone. The second target is placed at $5,625, aligning with the 1.414 Fibonacci extension, a common area for mid-term projections.

The most aggressive target, $6,870, reflects the 1.618 extension level. Clay refers to this as Ethereum’s “real moon zone,” suggesting a full extension of the breakout trend. These targets are based purely on price structure and past market behavior rather than sentiment or speculation.

Ethereum’s Price Action Reinforces Technical Outlook

As of writing, Ethereum is trading at $2,940.20, reflecting a 7.45% gain over the past seven days. The 24-hour trading volume stands at $21.53 billion, indicating sustained interest. The current breakout is not only technical in nature but is also supported by volume, often a confirming factor in trend continuation.

Clay advised that the breakout signals the beginning of a much larger leg up. He added that Ethereum below $3,000 could be the last major accumulation zone before the next uptrend phase accelerates.

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