By Senad Karaahmetovic
Bernstein analysts believe Ethereum price () is in a breakout pattern against Bitcoin () after a period of underperformance (ETH up 59% vs. BTC up 73% since inception of the year).
ETH’s current outperformance is “very similar to what we saw during Ethereum’s upgrade to Proof-of-stake in September 2022, where ETH rallied on the ‘Merge ‘”.
This time around, Ethereum price is approaching the Shanghai Upgrade, the next major upgrade slated for the world’s second largest digital asset.
“With the Ethereum upgrade in Shanghai scheduled for April 12, we are seeing a similar breakout with ETH up 6% in the last 24 hours (ETH at $1915), and showing the first signs of relative strength against Bitcoin,” the analysts said in a client note.
The price of ETH rose more than 2% on Wednesday to its highest level since last August. The bulls are now targeting a test of the psychologically important $2000 level, followed by a 38.2% Fibonacci retracement resistance located around $2400.