Grayscale Ethereum Trust ETF (ETHE) – Elliott Wave Technical Analysis

Daily Chart (1D Analysis)

Function: Major Trend
Mode: Motive
Structure: Impulse
Position: Wave 3
Direction: Uptrend

Details:

• Wave 3 is in progress and currently in its early stage, following the completion of a regular flat Wave 2.
• This indicates the start of the strongest segment within an impulsive wave.
• A breakout to new all-time highs is anticipated.
• Invalidation Level: $12.25

Hourly Chart (4H Analysis)

Function: Major Trend (Minor Degree – Grey)
Mode: Motive
Structure: Impulse
Position: Wave [5] of i
Direction: Rally

Details:

• Wave [4] of i appears complete; one final upward movement is expected to finish Wave i.
• Wave i is projected to terminate near the $26.00 mark, after which Wave ii is expected to start.
• Traders are advised to wait patiently through Wave ii to prepare a trading plan for the next rally.
• Invalidation Level: $12.25

Conclusion

• ETHE has entered Wave 3, typically the strongest and most extended wave within an impulse.
• Wave i is likely to end around the $26.00 level, after which Wave ii should begin.
• This is an ideal time to prepare trading strategies for the upcoming impulse.
• Traders must closely adhere to Elliott Wave guidelines and monitor the invalidation level to reduce risks and avoid losses.

Technical Analyst: Simon Brooks

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