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Ethereum is showing strong signs of a major rally, with well-known crypto analyst Kaleo forecasting a potential surge above $4,000. In a recent post on X (formerly Twitter), Kaleo mentioned the possibility of a “God candle” that could push ETH well past the $4K mark. He wrote, “God candle to $4K+ this week… honestly though I wouldn’t be surprised if we see something like this play out after today’s news. Don’t let them shake you out if it happens anon. Up only soon.”
Kaleo’s analysis is based on a technical pattern forming on Ethereum’s price chart. The ETH/USDT pair has been moving inside an ascending wedge for over three months. This pattern is often seen as a bullish signal, especially when the price breaks above the upper boundary. In this case, that upper resistance sat around $3,000. The lower support line started near $1,450 in April and climbed to $2,600 by late June.
The wedge briefly broke down in mid-June, with Ethereum’s price dropping as low as $2,100. However, it quickly recovered, reclaiming the support line—a bullish move known in technical analysis as a “reclaim.” Since then, ETH has been steadily climbing, and earlier this week, it finally broke above the $3,030 resistance level.
Kaleo’s chart includes a hand-drawn projection labelled “Send,” showing a sharp rise in Ethereum’s price to just over $4,000. This projection is based on a classic “measured move” technique. By measuring the widest part of the wedge—from the May low to the May high—he calculates a potential gain of over $1,000. Adding this to the breakout level near $3,000 gives a target in the $4,000 range, aligning with Kaleo’s bullish forecast.
What makes this breakout even more significant is Ethereum’s reclaim of the $3,000 psychological level. This price point had acted as both resistance and support in the past, and regaining it with strong momentum suggests further upside. The next key resistance area is around $3,344, which is the 0.618 Fibonacci retracement level, also known as the “golden pocket.” However, if the breakout is strong enough, these intermediate resistance levels may not hold ETH back for long.
Adding to the bullish sentiment is the broader crypto market environment. Bitcoin is also gaining momentum, approaching its all-time high of around $123,000. This bullish trend across the market creates a favorable backdrop for Ethereum’s rise.
Another major factor supporting Ethereum’s price is a recent SEC filing. It revealed that Peter Thiel’s Founders Fund has taken a 9.1% stake in Bitmine Immersion Technologies. This public company, chaired by Tom Lee, has accumulated over 163,000 ETH—worth approximately $500 million—as part of its Ethereum-focused treasury strategy. This institutional endorsement adds credibility to Ethereum’s long-term value and supports the current bullish trend.
Together, these factors—technical breakout, reclaim of key levels, macroeconomic tailwinds, and institutional backing—strengthen the case for a potential surge to $4,000. While no price movement is guaranteed in crypto, analysts like Kaleo believe Ethereum could see a powerful move before the week ends.
For traders and investors, the key level to watch now is $3,344. A clean break above this could confirm the move toward $4,000. However, as always, caution is advised. While the signs are promising, crypto remains a highly volatile market, and sudden reversals are always possible.
In summary, Ethereum’s price action, technical setup, and growing institutional support suggest a major move could be on the horizon. Whether or not a “God candle” lights the way to $4K, ETH is showing real strength—and that’s reason enough for market watchers to pay close attention this week.
