Ethereum (ETH) has been struggling with a significant decline recently, leaving the asset deep in the red. Over the past week, Ethereum has seen its value drop by 9.2%, reflecting the overall weakness in the market.

However, the last 24 hours have seen a slight change in momentum, with ETH price up 3.2%. While this enhance is not enough to erase the losses from the previous week, it could signal the beginning of a recovery phase.

Is Ethereum at the end of its correction?

According to the latest analysis Ethereum may be gradually regaining strength as the market’s recent bearish streak may be coming to an end, according to renowned cryptocurrency analyst Alex Clay on X.

He emphasized that if ETH manages to maintain consolidation above key technical zones, particularly the 200-day moving average (MA) and the 200-day exponential moving average (EMA), it will create a solid basis for growth.

A significant breakout above $2,500 could confirm that the correction is over and the asset is ready to recover. Furthermore, while Clay was previously hopeful about Ethereum achieving a much higher price target, he has revised his expectations based on recent market conditions.

#ETH/USD

In my opinion, we are at the end $ETH adjustment

We expect some consolidation above Key Zone + 200 MA and connection of 200 EMA

Breaking the $2,500 level will confirm the beginning of the rally#Ethereum it turned out to be a tough asset, so the $10k goal is rather… photo:twitter.com/jjGPPUHWE3

— Alex Clay (@cryptclay) September 9, 2024

Clay noted, “Ethereum has proven to be a tough asset, so the $10k target is more of a dream than a reality, so I’ve changed my mind.” For now, the analyst has set more realistic targets, with a medium-term target of $4,000 and long-term targets ranging from a conservative $6,255 to an hopeful $7,942.

Other analysts believe that the falling wedge formation is a key indicator.

Apart from Clay’s analysis, the Ethereum technical chart has come under the spotlight of several prominent analysts, including Anup Dhungana and Captain Faibik, who recently spotted the possibility of a bullish breakout in ETH.

For example, Dhungana’s ETH/BTC chart analysis I suggest that a rebound from key support levels and a breakout of the falling wedge formation could significantly enhance the price of Ethereum.

By comparison, in technical analysis, falling wedges are typically treated as bullish reversal patterns, and a confirmed breakout can signal an exponential uptrend.

Likewise Captain Faibik it echoed this sentiment by sharing an image of an altcoin market chart that also displayed a falling wedge formation.

Faibik predicts that altcoins may soon break out of the wedge formation, which could potentially trigger a rebound for major altcoins, including ETH, in Q4 2024.

He advised investors to remain patient, accumulate altcoins and prepare for a rebound that could see prices return to the March 2024 highs.

Featured image from DALL-E, Chart from TradingView