The recent market downturn has seen Ethereum effectively erase multiple years of gains as its price plummets back to a familiar level last seen around March 2021.
Despite the several periods of bullish and bearish cycles when the market continued to see a mix of major rallies and sharp downturns, ETH has typically gone full circle according to recent data from popular crypto analyst Ali Martinez.
Ethereum hits net gains?
The data showcased suggests that a $10,000 investment made around March 2021 would still be worth about the same today as Ethereum is currently sitting at a zero net gain.
While the flat Ethereum price performance over the specified years might seem negative for the asset, the analyst has revealed that it potentially provides a bullish outlook for Ethereum.
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According to Martinez, it is worth noting that Ethereum has posted zero net gains in its price over the five-year period despite the multiple cycles of severe volatility, explosive bull runs, and deep bear-market liquidations seen since March 2021.
This suggests that Ethereum is now at a retest phase and $1,060 has become a crucial level that could determine its next move, as this was the same level where strong buyers stepped back in when a similar cycle occurred in the past.
Ethereum could reclaim $2,850 soon
The analyst further noted that Ethereum could set the pace for a potential rally towards $2,850 and $4,630 depending on its ability to maintain a steady close above $1,060.
Notably, Ethereum could see a strong price breakout if it manages to hold above the level despite the persisting downside pressure.
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