• Ethereum’s native token Ether (ETH) could grow by 35% versus Bitcoin (BTC) in 2023.
• This potential increase is fueled by an ascending triangle pattern that’s been forming on the ETH/BTC pair since May 2021.
• Should the Ethereum token break out above the triangle’s horizontal trendline resistance near 0.0776 BTC, it could reach its next big resistance level at 0.1 BTC.
Ethereum’s native token Ether (ETH) could be in for a major increase this year, with technicals hinting at a potential 35% growth versus Bitcoin (BTC). This could see the ETH/BTC pair reach levels not seen in five years, as it forms a classic bullish continuation pattern.
The ETH/BTC pair has been painting an ascending triangle on its weekly chart since May 2021. This pattern forms when the price fluctuates inside a range defined by rising trendline support and horizontal trendline resistance. Typically, the pattern resolves after the price has broken out in the direction of its previous trend. As of now, the Ethereum token eyes a breakout above the pattern’s horizontal trendline resistance near 0.0776 BTC.
Breaking this resistance level could then see the price rally by as much as the triangle’s maximum height. This means that the ETH/BTC pair could reach the next big resistance level at 0.1 BTC in 2023, or 35% from the current price levels. Although, it is worth noting that ETH/BTC has already attempted to break above the triangle’s resistance trendline eight times since May 2021. These attempts included two major breakouts in November 2021 and September 2022, which saw the pair rallying 14% and 9%, respectively.
Both rallies were eventually followed by extreme price corrections, taking ETH/BTC back inside the triangle range. This could suggest that Ethereum is facing a multi-year hurdle and could struggle to break above 0.082 to 0.085 BTC. Nevertheless, Ethereum market dominance has doubled since the launch of its staking contract in December 2020, suggesting that the cryptocurrency could be in for a bullish run. Should the ETH/BTC pair break out above 0.0776 BTC, it could be on its way to the 0.1 BTC level.