As an experienced analyst, I believe that the recent market downturn has put Ethereum (ETH) and other cryptocurrencies under significant pressure, with ETH testing support at $3,230. The bearish sentiment is reinforced by key fundamentals such as the decreasing DeFi Total Value Locked (TVL) and a high crypto fear and greed index. However, I also see potential for a bullish breakout in the ETH/BTC trading pair.
Looking at the current market situation, I’m feeling quite concerned as Ethereum, Bitcoin, and other altcoins have all taken a hit in the past month. According to CoinGecko, Ether specifically dropped by 8.8% and even dipped down to $3,230, which is a significant support level. The second half of 2024 doesn’t look very promising based on these recent trends.
During Mondays US trading hours, the ETH/BTC exchange rate remained stable around 0.054. A significant price shift was imminent, provided Ethereum managed to overpower Bitcoin and surpass the resistance level of 0.055.
As an analyst, I’ve noticed that despite Ethereum’s recent bounce back to $3,445, the technical signs are still not entirely convincing. This is due in part to anticipated resistance levels at $3,500, $3,600, and $3,800. Furthermore, some fundamental factors cast a bearish shadow over Ethereum. For instance, the decentralized finance (DeFi) Total Value Locked (TVL), which has been a significant driver of Ethereum’s price action in the past, is currently showing signs of weakness. Additionally, the crypto fear and greed index indicates that investors are still more fearful than greedy towards cryptocurrencies, including Ethereum. These factors collectively suggest that the bearish trend may continue for Ethereum in the near term.
To preserve gains and avoid sliding back towards $3,000, the price needs to firmly remain within the range of $3,200 to $3,300 this week. A potential slide below this level could signal a further decline down to $2,800 – a key support level that cannot be dismissed just yet.
ETH/BTC Price Prediction: Is Ethereum Price Gearing Up For 25% Breakout
As a researcher studying the cryptocurrency market, I’ve noticed an intriguing development in the past few weeks: Ethereum has significantly gained value against Bitcoin. This trend has resulted in the ETH/BTC trading pair testing the neckline resistance of the inverse head and shoulders (H&S) pattern twice.
As a researcher studying the Ethereum market, I’ve noticed that the bulls are showing strong signs of continuing their uptrend beyond 0.055. This potential development could trigger a significant rally of up to 25%, propelling the price up to around 0.069. An inverted Head and Shoulders pattern is indicative of this bullish trend, suggesting that the downtrend has come to an end and a sustainable uptrend lies ahead.
Despite this, the pattern’s validity remains uncertain until the price surpasses the resistance level at 0.055 in the Ethereum-Bitcoin pair.
The Exponential Moving Averages (EMAs) lend weight to the potential price breakout, with the 20-day EMA serving as a near-term anchor at 0.05461. A golden cross emerges on the same daily chart, represented by the 50-day EMA in red surpassing the 200-day EMA in purple.
The golden cross formation on the price chart is an promising sign for the trading pair, as the Relative Strength Index (RSI) indicates significant potential. With the RSI positioned above the neutral level of 50, this bullish signal could strengthen if the RSI approaches the overbought territory at 70. If this occurs, the price trend is likely to continue upwardly, amplifying the breakout towards 0.069.
What To Watch Out For In Ether Price This Week
Based on the technical analysis of Ethereum’s price chart, a potential surge or “breakout” is imminent. This prediction is supported by the upcoming buy signal from the Moving Average Convergence Divergence (MACD) indicator on the daily timeframe.
Despite a positive forecast, ETH‘s price finds itself in a challenging position. It is sandwiched between two significant levels: support from the 0.5% Fibonacci ratio and resistance reinforced by the intersection of the 20-day and 50-day moving averages at $3,467.
As an analyst, I would rephrase it as follows: Should the hurdle give way, I believe traders will advocate for a bullish stance, aiming for a potential breakthrough to hit $4,000 by week’s end. Nevertheless, it is essential to keep in mind that two formidable resistance levels exist at $3,600 and $3,800, making such an advance a more challenging proposition.
As Ethereum ETFs are set to be approved by July, there’s optimism that market sentiment will significantly improve and potentially trigger a surge in Ethereum’s price beyond $4,000. The CoinGape Ethereum price forecast paints a clear picture of ETH‘s pathway back to its old record high. It’s plausible that Ether could debut above $5,000 and set a new all-time price peak.
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2024-07-02 16:22