ETH price forms giant bull flag after $4,700 rejection

ETH price has formed a highly bullish continuation pattern, a confirmed breakout above which could potentially push the token to a new all-time high in the coming months.

Summary

• ETH price is down roughly 9% after failing to breach the $4,700 resistance earlier this week.
• A multi-month bull flag pattern has formed on the weekly chart.

According to data from crypto.news, Ethereum (ETH) price fell 4% to an intraday low of $4,329 on Oct. 9 afternoon Asian time after bulls failed to breach the $4,600 resistance level late last night. At its current price, the token is down approximately 9% from its weekly high of $4,753, reached on Tuesday on the back of project-specific catalysts and a broader market rally sparked by renewed optimism across the crypto space.

The rally was fueled in part by the historically bullish sentiment that surrounds October, a month known for strong seasonal gains for cryptocurrencies. Strong inflows into spot Ethereum ETFs and macro tailwinds, such as expectations of dovish central bank policies, also contributed to the upbeat momentum.

However, the tide began to shift on Oct. 7, as Ethereum failed to break past the $4,700 resistance level for the second time over the past 30 days. The pullback was triggered by a combination of profit-taking by short-term traders, broad-based market liquidations, and a resurgent U.S. dollar, all of which weighed on investor sentiment and put downward pressure on ETH’s price.

As ETH price continued to slide downward following the recent rejection at higher levels, it has now formed a giant bullish flag pattern on the weekly chart. In technical analysis, this pattern emerges when an asset’s price rallies sharply and then consolidates in a downward-sloping channel, often signaling a pause before the next leg higher.

ETH price has formed a giant bullish continuation pattern on the weekly chart — Oct. 9 | Source: crypto.newsAt press time, ETH was also trading above all key simple moving averages on the weekly chart, with the shorter-term SMAs still crossing above the longer ones, a classic bullish alignment that suggests continued strength and buyer control.

Meanwhile, momentum indicator RSI showed a reading of 61, which means that ETH still has room to run before it enters overbought territory, giving bulls more breathing space before any serious correction kicks in.

Zooming into the daily timeframe, the price action has also confirmed a golden cross, with the 50-day moving average crossing above the 200-day. The pattern is typically associated with long-term bullish momentum and historically followed by sustained price rallies.

ETH price action confirmed a golden cross on the daily chart — Oct. 9 | Source: crypto.newsFor now, the key resistance level for the ETH price stands at $4,500, which marks a psychological barrier and aligns with the upper boundary of the bull flag pattern

A clean breakout above this zone could confirm the pattern and reignite ETH’s uptrend, initially toward $5,000, and potentially even toward the measured move target of $8,100, calculated by adding the height of the flagpole to the breakout point.

However, some market watchers urge caution, now that ETH has slipped close to a major support area. According to well-followed analyst Ted Pillows, Ethereum must hold the $4,250–$4,300 support zone to maintain its bullish setup

A decisive break below that range could invalidate the pattern, opening the doors for a deeper correction toward $4,000 in the coming weeks