Ethereum Market Update

As the crypto market kicks off March positively, veteran trader Peter Brandt shared his insights on Ethereum’s price action. In a tweet, Brandt indicated that the
Ethereum (ETH) chart can now be seen as a potential 11-month rectangle.

> ETH chart $ETH now can be viewed as a potential 11-month rectangle.
>
> — Peter Brandt (@PeterLBrandt) March 2, 2025

The rectangle pattern occurs when the price is confined by parallel support and resistance levels. This pattern signifies a period of consolidation or indecision between buyers and sellers, where neither side dominates. The price will frequently test these support and resistance levels before eventually breaking out.

Brandt’s tweet included an ETHUSD monthly chart that illustrated a potential rectangle pattern with support at $2,150 and a breakout target of $6,004. Rectangle patterns typically serve as accumulation zones leading to a significant breakout. A break above the resistance levels could result in heightened buying pressure, potentially driving ETH to new highs of $6,004. Conversely, if ETH does not break out, it may remain stuck in the rectangle or retest lower support levels.

Current Ethereum Price Action

At the time of this update, ETH was up 4.74% in the last 24 hours to $2,354. The decision to include Bitcoin and Ether in a crypto strategic reserve contributed to ETH’s slight rebound from last month’s declines.

Recent Glassnode analysis revealed that the largest accumulation zone for Ethereum exists at $1,890, where 1.82 million ETH are held. This concentration began in August 2023, indicating strong interest from cyclical investors. The $2,100 level serves as the last notable accumulation level before the $1,890 zone, but it only contains about 500,000 ETH—much less than the significant support below.

A two-year analysis of the ETH Cost Basis Distribution (CBD) showed that investors who accumulated ETH in August 2023 remain actively engaged. Some even increased their cost basis in November 2024, participating in last year’s rally while steering clear of major distribution at range highs.

A six-month perspective shows strong involvement from investors who have a higher cost basis, particularly around $3,500.