Ethereum, the world's second-largest cryptocurrency, has remained stable around the US$2,325 range. On-chain indicators point to a potential significant upward movement. Analysts anticipate a 50-60% increase in value as the Ethereum London upgrade approaches. This upgrade, known as Ethereum price DenCun, is generating optimism among market observers, leading to expectations of substantial gains soon.
Ethereum's recent price movement saw an attempt to rise above the US$2,325 mark. The cryptocurrency reached a high of approximately US$2,327 before facing a downward trend, reminiscent of Bitcoin's movement.
Subsequently, Ethereum dropped below the crucial $2,327 support zone, briefly dipping below $2,280. The decline extended below the 50% Fibonacci retracement level of the upward swing from the $2,241 low to the $2,327 high. Presently, Ethereum is trading below both $2,312 and the 100-hourly Simple Moving Average.
Crypto Bulls in the market are currently defending the $2,270 support level or the 61.8% Fibonacci retracement level of the aforementioned upward swing. Looking ahead, the primary resistance stands at the $2,321 level, where an important bearish trend line is forming, marked by resistance near $2,325 on the hourly ETH/USD chart. Traders are closely monitoring these levels for potential shifts in Ethereum's price dynamics.
Over the past weekend, the cryptocurrency markets experienced relative stability, with the top two tokens maintaining a quiet trading atmosphere. This resulted in a notable decrease in volatility, indicating a patient approach from market participants awaiting potential crypto price momentum.
Notably, Ethereum has demonstrated resilience and strength even amid prolonged upward pressure, leading traders to grow increasingly confident in the cryptocurrency. Recent data reveals a significant outflow from exchanges, signaling a bullish sentiment among market participants who are inclined to hold onto their Ethereum rather than selling or swapping it. This shift in trader outlook hints at anticipation of a later-year price rally in Ethereum.
According to data from Glassnode, recently shared by analyst Ali, there has been a substantial decline in Ethereum balances on exchanges. Over the last three weeks, approximately 510,000 ETH, valued at around $1.22 billion, have been withdrawn. This notable outflow suggests a positive sentiment among Ethereum holders, potentially easing selling pressure on the token in the upcoming days.
Several prominent cryptocurrency analysts are optimistic about Ethereum's future price trajectory, citing key features in its onboarding process. Speculation surrounds the potential approval of a spot Ethereum exchange-traded fund (ETF), adding to the market's volatility.
Framework Ventures' co-founder, Vance Spencer, emphasizes Ethereum's feature-rich platform, particularly its integrated layer-2 solutions, posing a formidable challenge to competing blockchains in the coming year. This sentiment is echoed by DeFi Dad, a respected crypto analyst with a substantial following, who sees these features as a driving force behind his bullish outlook for Ethereum in the upcoming bull cycle. As of now, Ethereum is valued at $2,319 and DeFi Dad's prediction hints at an 800% to 1,000% surge in its price if his projections materialize, reaching an impressive $25,000 this year. Investors are closely watching these developments amid the dynamic landscape of the cryptocurrency market.
Hourly MACD: The ETH/USD MACD is beginning to weaken in the negative area.
Hourly RSI: At this point, the ETH/USD RSI is below the 50 mark.
US$2,240 is the major support level.
US$2,325 is the major resistance level.
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