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The 55% bullish setup of Ethereum compared to Bitcoin raises hopes for an 'altcoin season'.
Ethereum (ETH) is forming at least two classic bullish patterns compared to Bitcoin, fueling optimism that a breakout could trigger the next altcoin season.
Ether indicators suggest the next bullish surge of 30-55%
The Ether/Bitcoin ratio (ETH/BTC) is forming a cup and handle pattern as well as a bullish flag pattern, both of which indicate significant growth momentum.
With the cup and handle pattern, ETH/BTC shows the potential for a breakout at the neckline of 0.02596 BTC, with a technical target near 0.03814 BTC, implying a 55% increase in July.
! ETH/BTC Price Chart – 1 Day | Source: TradingViewThe 0.03814 BTC level is in line with the resistance level in December 2024.
On the other hand, the bullish flag pattern indicates a breakout potential towards 0.03235 BTC, approximately 30% higher than the current price, in July. The growth target aligns with the price level in January to February 2025.
According to analyst Trader Tardigrade, the breakout of Ethereum compared to Bitcoin could mark the beginning of the altcoin season in 2025.
Other analysts reinforce the argument for the altcoin season, with Sensei pointing out that the altcoin market capitalization compared to Bitcoin is testing the long-term ascending support trendline.
In the past, each time bouncing up from this level has occurred before major bullish runs of altcoins, which previously led to a 9,000% increase and another time led to a 180,000% explosion in market capitalization.
Meanwhile, analyst Moustache notes that altcoin is breaking out of a 7-year-long falling wedge pattern, which occurred before the major bullish runs in 2017 and 2020, signaling another altcoin season may be approaching.
Vincent