Ethereum (ETH) Price: Is History About to Repeat With Another Parabolic Rally?

TLDR

Table of Contents

Ethereum’s current price pattern resembles the 2020 post-COVID crash pattern before a major rally
Multiple analysts have identified similar technical patterns from 2017, 2020, and post-Luna crash in 2022
ETH is currently testing a 5-year support trendline that has historically triggered upward momentum
The weekly Stochastic RSI indicator suggests ETH is oversold, potentially signaling a buying opportunity
Upcoming catalysts like the Pectra upgrade could fuel a recovery despite current market concerns

Ethereum’s price has been moving sideways for months, but several crypto analysts believe this quiet period may soon end. Technical indicators and historical patterns point to a potential upswing for the world’s second-largest cryptocurrency.

Ethereum has fallen more than 40% in value since the start of 2025. This decline has put ETH behind many of its competitors in performance, including Bitcoin and several major altcoins.

The current price action shows striking similarities to patterns seen in previous bull runs. Analyst Mister Crypto recently highlighted how ETH’s chart formation mirrors what happened after the March 2020 market crash during the COVID pandemic.

Back then, ETH suffered a steep decline before making a sharp turnaround. What followed was a strong upward movement that eventually led to new all-time highs.

Another analyst, Merlijn The Trader, agrees with this assessment. He points out that ETH often shows a pattern of deep drops before making massive runs upward.

DON’T BE THE GUY WHO SOLD $ETH AT THE BOTTOM!
Ethereum is repeating its historical cycle.
Capitulation before the biggest run-up yet! pic.twitter.com/Xwfx02qq2W
— Merlijn The Trader (@MerlijnTrader) March 16, 2025

This happened not only after the COVID crash but also following the Luna crash in 2022. During that time, negative sentiment around ETH reached extreme levels, yet the digital asset bounced back with a 270% rally.

Looking further back, some experts see similarities to the 2017 bull market setup. Charts show a five-wave accumulation pattern that came before ETH’s explosion in value during that cycle.

The 2017 rally was fueled by the ICO boom, where new projects launched tokens on the Ethereum blockchain. While ICOs no longer drive the market, other factors could step in to push prices higher.

Oversold on the weekly Stochastic RSI

Technical indicators add weight to these observations. Trader TraderPA notes that Ethereum is currently oversold according to the weekly Stochastic Relative Strength Index (RSI).

This momentum indicator measures ETH’s position within its recent price range. When certain lines cross in the oversold zone, it often signals a coming upward move.

Perhaps most compelling is Ethereum’s test of a 5-year trendline support. This ascending line has marked major bottom points throughout ETH’s history.

Each time ETH has touched this long-term support line, it has rebounded strongly. The current price is once again testing this level, which could mark another turning point.

Investors worries continue

The decline follows several market concerns. Investors worry about Ethereum’s changing supply dynamics, falling transaction volumes, and growing competition from other Layer-1 blockchains like Solana.

Unlike previous bullish periods, Ethereum now faces weaker on-chain activity and stronger rivals. However, upcoming developments could change the picture.

The Pectra upgrade could renew interest in the Ethereum ecosystem. Additionally, a potential Wall Street expansion and favorable policy changes might bring fresh capital to the market.

For investors watching these patterns, the technical setup suggests Ethereum may be forming a solid bottom before starting a new upward cycle. If historical patterns hold true, the current price level could represent an opportunity before a potential rally.

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