A crypto analyst has identified a Golden Triangle, a rare structure that has been forming on the Ethereum (ETH) chart for almost nine years. According to the analyst, Ethereum price has remained within this triangle during both bullish and bearish periods.
However, he says the cryptocurrency is now approaching the top of the triangle pattern, which signals an impending breakout, either up or down. Depending on the direction of that breakout, the analyst has predicted ETH’s next move and possible price target.
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Ethereum Golden Triangle could cause a surge to $10,000
A market analyst identified as ‘Merlijn The Trader’ on shared a new Ethereum price analysis, presenting both bullish and bearish scenarios. In a post shared on April 24, Merlin said that the Ethereum price is currently trading inside a golden triangle pattern which has maintained its structure since 2017, two years after the cryptocurrency was launched in 2015.
According to the analyst, the pattern has gone through several major events that caused sharp price swings during all of these events. He pointed the 2020 COVID crisiswhen most cryptocurrencies saw a steep decline, including ETH, which also crashed significantly. Still, he noted that Ethereum continued to exist within the Golden Triangle.
The same pattern remained intact during the 2022 bear marketwhich followed ETH’s explosive rise to an all-time high above $4,800 in 2021. He added that even after peaking in 2026 and undergoing another major correction, Ethereum remained within the triangle without breaking its structure.
Since the structure has held strong despite all these bullish and bearish events, Merlin believes ETH could be now a decisive outbreak is approaching from the nine-year formation. Looking at his accompanying chart, he noticed that ETH is moving closer to the top, the highest point, of the Golden Triangle, where a breakout often occurs.
Once the price reaches this top, two outcomes are possible: Ethereum could break upward or move downward through the bottom of the structure.
In his bullish case, Merlin believes that an upside breakout could take ETH above $4,350 and push the price towards a moderate level. goal of about $10,000. Given how long the triangle has held, he expects Ethereum to continue trending higher, with occasional pullbacks, until it eventually reaches an ambitious peak above $56,000. He posted this Longer term price target in 2028, suggesting the rally could continue over the next two years.
ETH Bear Case if the price falls below the triangle
For his bear case scenario, Merlijn The Trader noted that if Ethereum decides to go in the opposite direction to break below the triangle, that move could trigger a decline towards $1,950. Currently, Ethereum is trading above $2,300, after its last rally where the price rose above 36%.
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If the cryptocurrency falls to $1,950, it would represent a drop of more than 15% from current prices. However, despite outlining this downside risk, Merlin remains convinced that a breakout to the upside could be the likely scenario.
Featured image from Unsplash, chart from TradingView