If history repeats itself, Ethereum (ETH) could reach $13,000 in the next two months, as shown by a fractal indicator from 2017, which contained at least four technical patterns and helped drive the ETH price up by over 7,000 percent. The same set of bullish pointers has flashed once more in 2021, as ETH trades above $3,350 after a year-to-date gain of over 360 percent.
The 2017 Ethereum Fractal Indicators
The four technical indicators are Stochastic RSI, Relative Strength Index (RSI), Bullish Hammer, and a Fibonacci retracement level. The Bullish Hammer appeared on ETH’s monthly chart in December 2017, followed by a 7,000 percent price increase over the next six months.
The massive upward move led by Hammer pushed ETH’s monthly RSI above 94, showing an extremely overbought condition. As a result, the crypto coin began consolidating sideways to counteract its excessively bullish sentiments. As a result, the RSI started to correct lower.
Later, in November 2017, the Stochastic RSI turned bullish, with the percent K line (which measures an asset’s lowest low and highest high to define a price range) crossing above the percent D line (a moving average of the percent K).
Meanwhile, at the time of the change, the Stochastic RSI rendering was above 20, boosting ETH’s bullish continuation hopes. Later on, the Ethereum token increased by 500 percent, closing above $1,200 in January 2018.
This Year’s Fractal Repeat
As it enters Q4 of 2021, ETH is almost echoing the tendencies of the 2017 fractal, but without order. In particular, the token increased by 3,400 percent to over $4,300 sixteen months after a bullish Stochastic RSI cross showed up.
Meanwhile, ETH’s monthly RSI enrolled the overbought zone because of the grand upward move. The bullish similarity also took signals from a potential Stochastic RSI bullish cross and a double top RSI, both of which could appear on ETH’s monthly chart in the following ‘few months,’ just like the one that coincided with the 500 percent price rally in 2018.