Ethereum (ETH) is showing a chart pattern that has appeared in earlier market cycles. Traders are comparing it to the structure seen during the 2021\u20132022 period. That cycle ended in a sharp decline. The current setup, however, suggests a different possibility.<\/p>\n
In 2021 and early 2022, Ethereum formed a head-and-shoulders pattern. This included a left shoulder in mid-2021, a peak that formed the head later that year, and a right shoulder in early 2022. The neckline support failed in mid-2022. After that, ETH dropped by over 65% in under two months.<\/p>\n
2021-2022 Cycle<\/p>\n
\u27ba $ETH<\/a> formed head and shoulder pattern 2025-2026 Cycle<\/p>\n \u27ba ETH has formed inverse head and shoulder pattern<\/p>\n The breakout and pump will be insane. pic.twitter.com\/ySSGFgORZj<\/a><\/p>\n \u2014 Max Crypto (@MaxCrypto) January 20, 2026<\/a><\/p>\n\n This drop ended the previous uptrend. The pattern matched the textbook example of a reversal structure. Traders still use that formation as a reference point for current conditions.<\/p>\n Meanwhile, a new pattern is now forming on the ETH chart. This time, it\u2019s an inverse head-and-shoulders pattern. The left shoulder appeared around mid-2024. A lower low in late 2024 formed the head. The right shoulder is developing in early 2025.<\/p>\n The neckline lies between $4,000 and $4,400, which is still far away from the asset\u2019s current price tag.<\/p>\n ETH now trades at $3,100 at press time. It dropped more than 3% in the last 24 hours and 1% over the past 7 days. On Sunday, the asset moved above $3,300 but later fell. Since the weekend, ETH has lost around 5%. This move followed broader market stress, linked<\/a> in part to renewed global trade concerns.<\/p>\n CW, a market analyst, commented<\/a>, \u201cFirst, the CME gap near 3k will be filled, and then the next target will be 3.2k<\/em>.\u201d This suggests a possible dip before any recovery.<\/p>\n As previously reported<\/a>, more ETH is being locked up for staking than ever before. Ethereum staking recently hit an all-time high, with new inflows still being added. At the same time, major players are still watching the market. According to analyst Maartunn, Bitmine put $14.6 billion into ETH in 2025, but has made no big moves so far in 2026.<\/p>\n Bitmine poured $14.6B into ETH last year, but it\u2019s been quiet since the new year began.<\/p>\n No major moves (other than stacking) so far in 2026. pic.twitter.com\/fD1ER15AoW<\/a><\/p>\n \u2014 Maartunn (@JA_Maartun) January 20, 2026<\/a><\/p>\n\n In addition, a CryptoQuant analyst, _OnChain, said<\/a>,<\/p>\n \u201cI see not only price action segmented into parts, but also time itself.\u201d<\/p>\n The same report tracks how institutional holdings and ETF interest have followed key moments on ETH\u2019s chart. Data includes fund-related metrics and recent responses to regulatory developments like the Clarity Act.<\/p>\n The post This Ethereum (ETH) Pattern Could Launch the Next Big Rally<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Ethereum (ETH) is showing a chart pattern that has appeared in earlier market cycles. Traders are comparing it to the structure seen during the 2021\u20132022 period. That cycle ended in a sharp decline. The current setup, however, suggests a different possibility. ETH Price Movement in 2021\u20132022 In 2021 and early 2022, Ethereum formed a head-and-shoulders […]<\/p>\n","protected":false},"author":0,"featured_media":128566,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-128565","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/128565"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=128565"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/128565\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/128566"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=128565"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=128565"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=128565"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\n\u27ba Lost the uptrend and dumped 65% in 2 months<\/p>\nCurrent Price and Market Activity<\/h2>\n