The Ethereum price action has significantly underperformed traders’ expectations over the past few months. Ethereum is currently trapped in a bearish trend, with its price now down by 23% over a 30-day period. This downturn contrasts sharply with the hopes of many ETH investors who have been anticipating a bullish surge following the launch of Spot Ethereum ETFs.

However, technical analysis suggests that Ethereum’s recent performance is not unusual for the cryptocurrency, as it appears to be mirroring a similar pattern observed in 2016.

Ethereum Maintains Similarities With 2016 Price Movements

Despite the price concerns, a deeper look into Ethereum’s historical price movements suggests that the current situation might not be as unfamiliar as it seems. According to an ongoing analysis by popular crypto analyst Benjamin Cowen, Ethereum’s price action in 2024 closely mirrors its performance in 2016 when viewed on the monthly candlestick chart. This pattern of repetition became even more apparent after August 2024 concluded with Ethereum closing on a bearish candle, mirroring the same outcome in August 2016.

Isolated, this would’ve probably not meant anything. However, as Cowen has highlighted, this pattern has been consistent throughout 2024, dating back to January. Interestingly, Ethereum has closed monthly candlesticks the same way as in 2016 for eight months in a row. As such, this could give an idea of how Ethereum could continue to play out for the rest of the year.

#ETH / #USD monthly candles continue to track 2016 perfectly.

If it continues to play out, it would suggest #ETH is green in September, and then red Oct-Dec.

Then in 2025 #ETH turns green for a while pic.twitter.com/G8WtDwQlWY

— Benjamin Cowen (@intocryptoverse) August 21, 2024

Back in 2016, Ethereum eventually went on a massive 19,000% rally, which saw it reach $1,590 for the first time. If this continues to play out like in 2016, investors can look towards a green monthly close for Ethereum in September and then three consecutive bearish months from October to December. If this price action repetition continues after December 2024, Ethereum will eventually go on a notable price rally above its current all-time high. This would push fervent Ethereum bulls into the much-needed profitability they’ve been anticipating. 

Road To $5,000?

At the time of writing, Ethereum is trading at $2,445, a decline of 10.85% over the past seven days and 23% over the past 30 days. If the current trend continues to mirror the 2016 pattern, Ethereum’s bearish momentum might persist throughout the remainder of the year. However, not all hope is lost for Ethereum bulls, as the cryptocurrency is currently hovering around a critical support level that could trigger a rebound upwards.

Ethereum’s price is at a crucial support level, specifically at the 0.382 Fibonacci retracement level, just above $2,400. A significant bounce from this level could signal the start of an upward trend, leading to a close above its monthly open by the end of September. An ETH surge above $3,000 into $4,000, and subsequently, $5,000 is still in the books.