Will Ether form an inverse head-shoulders rally?
2025-12-12 • Ian Irizarry
TL;DR: Ether has formed an inverse head-and-shoulders (IH&S) setup versus Bitcoin, bouncing off a historical accumulation zone. If it can break through the long-standing resistance, ETH/BTC could jump ~80% in 2026 to around 0.059-0.063 BTC.
How IH&S and Accumulation Zones Point to a Big Move for ETH vs BTC
Here’s the thing: Ether’s weekly and bi-weekly charts are showing a classic inverse head-and-shoulders pattern. The left shoulder formed in late 2024, the head hit bottom around April 2025, and now the right shoulder is shaping up. The neckline is hanging out close to 0.0400 BTC.
Now, this price area isn’t some random level. Back in 2019-2020, ETH/BTC found solid footing between 0.016-0.020 BTC—a sweet spot where accumulation happened before a huge rally kicked off. Looks like history might be repeating itself here.
When you see these two things together—a clear pattern plus strong accumulation near key support—it usually signals a high chance of reversal. I’ve found that many long-term downtrends flip for good when this combo shows up.
Key Resistance and the “2017 Curse” to Beat
ETH/BTC faces a tough opponent: a multi-year descending trendline that’s blocked rallies since 2017. Every time the price tries to break through, it gets pushed back down hard.
So, if ETH can close weekly candles above the 0.0400 BTC neckline decisively, that stubborn trendline might finally crumble. That’s the moment when things really take off. But if it doesn’t clear this hurdle, downside risk spikes toward about 0.0175 BTC.
Quick aside: Weekly closes are crucial here, so intraday spikes don’t count as legit breakouts.
What +80% Means in Real Numbers
Matching the IH&S with its price target points to ETH/BTC hitting around 0.059–0.063 BTC. That’s roughly an 80% jump from today’s levels near 0.034-0.035 BTC.
In dollars, that potentially means Ethereum cruising above its late 2025 highs—think $6,000 or maybe more if Bitcoin stays stable. Some technical analysts are even eyeing $7,600+ by measuring the ETH/USD IH&S target.
There’s a lot riding on where Bitcoin moves, though. If BTC suddenly tanks, the gains might not be as sweet as they look.
Why This Matters If You’re Seeking Funding
- Exposure to ETH during this possible 80% rally might seriously boost treasury returns, thanks to both price gains and staking rewards.
- ETH’s usefulness spans DeFi, tokenization, smart contracts, and more—so it’s not just speculation. Institutional interest is climbing fast.
- Companies raising capital now could ride the wave of growing ETH adoption and infrastructure. Investors want to jump in before everything’s obvious.
Real-Life Signals and Examples
- Several analysts (HTX, Cointelegraph) confirm the inverse head-and-shoulders on ETH/BTC aiming for that 0.059-0.063 BTC zone.
- ETH recently bounced sharply from around 0.0176 BTC—the “head” level—right up toward the neckline. That bounce came from the same long-term accumulation zone that fueled past rallies.
- Weekly charts show price holding above rising lows, signaling selling pressure is easing and buyers are gaining strength. Momentum is building, but resistance near the trendline remains stiff.
Risks and Other Possibilities
If ETH/BTC can’t hold above the neckline (around 0.0400 BTC) and fails to break the long-term descending trendline, the IH&S pattern falls apart. That would likely mean retesting support near 0.0175 BTC.
Here’s the catch: rising interest rates, tougher regulations, or Bitcoin regaining dominance could all dampen this move. Also, false breakouts happen frequently near major resistance lines—watch volume closely to avoid getting fooled.
Frequently Asked Questions
Q: How reliable is an inverse head-and-shoulders pattern in crypto?
A: They’re not foolproof but tend to work better when combined with strong accumulation zones, solid support, and breakout volume. In this case, multiple timeframes line up nicely.
Q: What do you mean by “current levels” for ETH needing 80%?
A: ETH/BTC is trading around 0.034-0.035 BTC as of late 2025. So moving up to about 0.059-0.063 BTC is roughly an 80% gain.
Q: Will ETH/USD definitely rise?
A: Maybe. If Bitcoin remains steady or climbs slowly, ETH/USD should benefit more. But remember, ETH/USD depends on other factors too, like dollar strength and macro trends.
Q: What kind of timeline are we talking about?
A: The big breakout and target move are expected in 2026. The pattern is forming right now, with confirmation likely in the next few quarters.
If your company’s looking to raise capital, now might be the perfect moment to rethink your ETH strategy. Getting positioned ahead of a confirmed breakout can give your pitch extra credibility with investors who want both upside and solid fundamentals. Need help crafting your pitch deck or treasury plan around this? I’m happy to help you map it all out.