Ethereum Triangle Pattern Spells Breakout Opportunity

Ethereum's price has been steadily increasing over the past week, reaching $2,550.49 as of writing. According to chart analyst Ali Charts, a triangle pattern is forming on the Ethereum price chart, which could potentially lead to a breakout towards $3,000.

A similar pattern previously preceded a 31% surge in just three days, with Ethereum's price increasing from around $2,000 to over $2,600. If this trend continues, it could send Ethereum's price soaring even higher.

But what's behind the recent price movement? One reason is the decline in Ethereum held on exchanges. Roughly 140,000 ETH, valued at around $350 million, have left exchange wallets over the past 96 hours.

This reduction in available supply could reduce immediate selling pressure and potentially lead to a longer-term price increase. As Ali Charts notes, holders moving assets off exchanges often signal an intent to hold long term, which has been observed during previous periods of price strength.