Ethereum (ETH) broke above key support after a brief dip, with the asset recovering towards $4,150. The move comes after ETH rose more than 8% in 24 hours, despite remaining down more than 8% over the past week.
Pattern repeats after false breakdown
The chart shared by trader Tardigrade outlines a recurring price pattern. That is, a false breakdown, followed by a recovery of support, and then a rally.
$ETH/daily#Ethereum rises above the previous low marked as support after a false breakdown.
It follows this pattern:
🔴 Incorrect breakdown
🟡 Collect
🟢 LarryWe may soon see an uptrend that surpasses the previous high 🚀 pic.twitter.com/BEJTQda0oY
— Trader Tardigrade (@TATrader_Alan) October 13, 2025
This exact sequence of events has occurred multiple times over the past year. In both cases, breakdowns led to rapid recovery. The latest settings show ETH reclaiming the $3,650 zone. This pattern indicates a possible move back toward the $4,800 level if momentum continues.
Chart goal is $7,000 by mid-2026
Investor Mike Investing posted a weekly ETH chart predicting a long-term price target of $7,000 by May 2026. According to this chart, ETH is currently trading well above its 200-week moving average, which is near $2,447. This level has served as a benchmark in previous market cycles.
Notably, the post claims that large companies such as BlackRock, Bitmine, and Vanguard increased their ETH holdings during the recent correction. Although this move has not been confirmed in public filings, the chart suggests that strong returns are possible in the coming months if ETH breaks above support.
I’m officially calling it that…$ETH experienced one last hard drop below $4,000 before the upcoming multi-month rally begins.
During the recent pullback, institutions like BitMine, Blackrock, and Vanguard all collectively loaded billions of dollars in ETH.
$7,000 or more by May 2026.
Please mark my words… pic.twitter.com/m0xCGA0pb1
— Mike Investing (@MrMikeInvesting) October 12, 2025
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Additionally, another chart from Mr. Crypto compares Ethereum’s current structure to the 2016-2017 cycle. If we look at them side by side, we can see that both charts have a breakout followed by a short decline. In early cycles, this setup led to a sharp rise over several months.
The post claims:This $ETH setup is very similar to 2017, butTraders who monitor fractals often use these historical patterns as a rough guide, but your results may vary.
Coinbase Premium hits yearly high
Onchain analyst CryptoOnchain reported that Ethereum’s Coinbase premium gap has skyrocketed, reaching +6.0 on October 10th. This shows that ETH is trading much higher on Coinbase than on global exchanges like Binance, which is often a sign of strong US demand.
“While global markets were selling, the Coinbase exchange was experiencing an overwhelmingly aggressive buying wave,” the post said.
This type of buying often reflects institutional investor interest, especially when it appears during market corrections.
This data suggests that major investors may take positions on the decline and a floor may form around the current price level.
