In the cryptocurrency market, the price trends of Ethereum have always attracted attention. Recently, the price movement of Ethereum has shown an intriguing technical pattern - a descending expanding wedge. This pattern is often seen as a potential precursor to an upward movement, signaling a possible end to a period of consolidation.

Currently, the price of Ethereum is approaching the important resistance level of $3,740. This level has previously blocked the upward momentum of the price multiple times. A cryptocurrency technical analysis expert pointed out that the price movement of Ethereum strictly follows the trajectory of this wedge pattern, fluctuating precisely between its upper and lower boundaries. If Ethereum can strongly break through this resistance level and convert it into support during the subsequent retest, it could trigger a significant upward trend.

At the same time, on-chain data also supports this optimistic outlook. In the past two weeks, large holders (commonly known as "whales") have accumulated over 1.13 million ETH, valued at approximately $4.18 billion. Such large-scale buying behavior not only reflects the confidence of substantial funds in Ethereum but is often a precursor to price increases. Historical data shows that the active entry of whales usually coincides with bull market phases.

Another factor worth noting is the change in trading volume. Recently, Ethereum's trading activity has significantly increased, which is an important indicator for validating the effectiveness of the breakout. The rise in trading volume, along with the formation of technical patterns and the continuous buying by large funds, has collectively increased the likelihood of a price breakout.

However, investors should remain cautious. Although several indicators point to a potential increase, the high volatility of the cryptocurrency market means that situations can change at any moment. When making decisions, investors should take into account various factors and always pay attention to market dynamics.