Ethereum (ETH), the second-largest cryptocurrency by market cap, may be on the verge of a significant breakout, according to a recent analysis by prominent crypto strategist. In his latest technical deep dive, Kevin highlights a rare confluence of indicators across Ethereum’s monthly charts—patterns not seen in years—which could mark the beginning of a powerful uptrend.

Kevin, who has built a following for his macro-technical market insights, shared his views in a video posted on June 9. He pointed out that the Ethereum price charts are currently showing signs similar to those observed before major rallies in 2016, 2018, and 2020. These signals, he said, suggest that Ethereum could be gearing up for an extended period of outperformance, especially against Bitcoin and other altcoins.

Rare Chart Pattern: A Monthly Demand Candle

The foundation of Kevin’s analysis is what he calls a “monthly demand candle.” This type of candlestick forms after a lengthy market correction and signals renewed investor interest. According to Kevin, Ethereum’s monthly chart for May 2025 displayed exactly this kind of formation—a large green candle emerging after months of sideways trading and downward pressure.

“This isn’t something you see every day,” Kevin explained. “In fact, we’ve rarely seen this kind of alignment happen all at once for Ethereum.”

He referenced similar patterns that appeared on the charts in early 2016, late 2018, and again in early 2020—each of which led to strong multi-month rallies for Ethereum. During those periods, the market experienced long stretches of accumulation followed by aggressive buying interest, trigger sustained bull runs.

Ethereum Shows Strength Across Key Indicators

Beyond the monthly demand candle, Kevin emphasized that several long-term indicators are aligning. Ethereum’s performance is gaining momentum not only in its USD pair but also in its ETH/BTC ratio—a key metric for evaluating Ethereum’s strength relative to Bitcoin. The ETH dominance chart, which measures Ethereum’s share of the total crypto market, is also on the rise.

“This is the first time in years that all these high-timeframe indicators are pointing in the same direction,” Kevin said. “That kind of alignment is incredibly rare and historically has signaled the start of a major trend shift.”

Such signals could also indicate growing investor confidence in Ethereum’s fundamentals, especially as the ecosystem continues to develop around layer-2 scaling solutions, decentralized finance (DeFi), and upcoming Ethereum Improvement Proposals (EIPs).

Ethereum Poised to Outperform Altcoins and Bitcoin?

With ETH showing strength across various charts, the big question becomes: can Ethereum lead the next major crypto rally?

Kevin believes so. He argues that Ethereum’s current setup makes it one of the best-positioned assets for potential upside in the coming months. Historically, when Ethereum begins to outperform Bitcoin and gains market dominance, altcoin rallies often follow. That pattern may be setting up once again, driven by improved on-chain metrics and a renewed technical outlook.

“We’ve never had a more textbook signal for Ethereum going into a macro breakout,” Kevin concluded.

What Could Trigger the Next Leg Up?

Although Ethereum’s chart patterns are bullish, Kevin noted that confirmation is still needed. Key levels to watch include the psychological resistance near $2,880 and $3,000. A clean break above those thresholds could validate the breakout and attract new buyers.

On the fundamental side, catalysts such as increased institutional adoption, progress in Ethereum’s roadmap (including proto-danksharding), and rising demand for ETH as a gas asset in DeFi could all support higher prices. Additionally, Ethereum’s deflationary tokenomics—introduced through EIP-1559—continue to limit supply, which may add long-term bullish pressure.

However, Kevin also cautioned investors to be aware of broader market conditions. Macro uncertainty, including interest rate policy from central banks and global regulatory shifts, could impact momentum even if technical indicators are strong.

Conclusion

Ethereum may be entering a rare and potentially explosive phase, as multiple technical indicators align to suggest a macro breakout signal. While short-term volatility remains, the long-term setup appears increasingly favorable for ETH. Investors and analysts alike are closely watching whether Ethereum can maintain its upward momentum and lead the next phase of the crypto market cycle.

As Kevin’s analysis suggests, the stars may be aligning for Ethereum—and if history repeats itself, a powerful rally could be on the horizon.