•  Ethereum price moved above $3780 after a correction and the chart shows a bullish wave pattern forming upward.
• Fibonacci tools point to a clear target of $4175 as wave five gains strength after breaking from the channel.
• Momentum indicators and price volume confirm the breakout and may support the path toward the $4175 level.

Ethereum is trading near $3,776 and appears to be forming a bullish breakout structure targeting $4,175 on the next impulse wave. The 30-minute ETH/USD chart reveals a potential Elliott Wave count that forecasts continued upside momentum. Current trading activity is supported by growing volume and key Fibonacci projections.

The chart shows Ethereum recently completed a correction wave marked as (iv) and has now started the early stage of wave (v). A breakout has already occurred from a descending channel that held prices between July 24 and July 28. The next resistance sits at $3,936, which aligns with the 1.618 Fibonacci extension.

Above this, the 2.618 extension points toward $4,175. If price action sustains above the prior high of $3,936, a move toward that target becomes likely. Strong volume activity supports this projection, with recent candles breaking previous resistance with notable force and momentum.

Technical Indicators Point Toward Strengthening Momentum

Multiple indicators on the chart signal increasing strength in Ethereum’s current trend. The Relative Strength Index (RSI) has turned upward, currently positioned near overbought territory. This shift indicates buyer dominance in the short-term timeframe.

The Stochastic RSI has also begun curving upward from lower bands, indicating renewed buying pressure. It confirms momentum reversal from the correction zone, potentially validating the start of wave (v). This is consistent with the breakout from the prior structure and recovery above local moving averages.

Volume profile bars show increased activity around $3,700 to $3,750, a region that may now act as support. The low liquidity above $3,800 could create fast upward moves if the rally extends past that level. Traders are watching this closely as price action continues to build above key thresholds.

Wave Analysis Suggests Ethereum May Revisit 2024 Highs

The wave count follows classical Elliott Wave theory, with wave (i) starting near $3,585 and completing wave (iii) around $3,936. After a corrective (iv) pattern dropped ETH briefly, the price has resumed upward movement. This sequence places ETH firmly within wave (v), which often sees strong upward follow-through.

If wave (v) reaches the 2.618 Fibonacci level, the target aligns at $4,175. This would represent a significant gain from the current $3,776 mark. The move could position ETH to test highs from earlier in 2024 or even surpass previous resistance levels.

This structure also shows wave (iii) extending beyond the 1.618 level, which is a textbook bullish signal in Elliott analysis. With wave (v) underway, many traders may look to capitalize on the momentum ahead of August. Market timing and breakout confirmation are now in sharp focus.