Ethereum breaks key level, triggering excitement across the crypto market and raising hopes for a full-scale altcoin season. The price of ETH has reclaimed a critical zone — the midline of the Gaussian Channel on the biweekly chart, currently around $2,600. Historically, this level has signaled the beginning of explosive bull runs for ETH and the broader altcoin market.
ETH Price Action Signals Major Upside Potential
According to technical analysis, closing above the Gaussian Channel’s midline has previously preceded powerful rallies:
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In 2020, ETH jumped from ~$400 to $4,800
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In 2023, ETH surged from ~$1,500 to nearly $4,000
Now, analysts are watching the upper bound of the channel, located near $3,200. If Ethereum breaks through it decisively, the path toward $4,100 could be wide open.
“Ethereum breaks key level — this is how altseasons begin,” wrote prominent crypto analyst Moustache on X (formerly Twitter), echoing similar trends from previous cycles.
Will Altcoin Season Follow?
Historically, when Ethereum breaks key level, the altcoin market tends to follow with strong momentum. In 2020, after ETH reclaimed the Gaussian Channel midline, the altcoin market cap (excluding Ethereum) soared 1,400% in one year. A similar trend occurred in late 2023, where altcoins posted gains over 200% in the following 12 months.
Moustache suggests that Ethereum once again plays the role of “altseason predictor,” and the setup resembles previous bull cycles in many ways.
Bitcoin Dominance and the Halving Countdown
Another critical factor is the post-halving behavior of Bitcoin dominance. In both 2017 and 2021, about 400 days after the halving, BTC dominance sharply declined — an environment that typically favors altcoin rallies.
Since the last Bitcoin halving occurred in April 2024, this suggests that the countdown to altseason may already be underway, with less than 100 days to go before another potential rotation of capital into altcoins.
