Ethereum Bulls: ETH Surges Over 5% in 24 Hours, Market Indicators Remain Bullish
After a week-long decline, Ethereum investors were finally able to rejoice as the token’s daily chart turned green. According to CoinMarketCap, ETH was up by more than 5% in the last 24 hours, signaling a potential shift in market sentiment. At the time of writing, Ethereum was trading at $2,318.33 with a market capitalization of over $278 billion. This sudden uptrend gave investors hope for a sustained bull rally, but an analyst had a different perspective on the matter.
Analyst’s Perspective: Can Ethereum’s Bull Run Sustain Amid Bearish Signs?
CryptoQuant, a prominent analysis firm, suggested that the probability of ETH moving within a small price range seemed likely. Derivative market charts indicated a relatively high number of short transactions, which appeared bearish. The analysis also mentioned that it was unlikely for ETH to initiate a bull rally before Bitcoin manages to go above a key resistance level of $43,500. However, BTC has already toppled the resistance level, currently trading at $46,770.41. This conflicting perspective prompted a closer look at Ethereum’s metrics to determine if the altcoin can touch $2,500 anytime soon.
Ethereum’s Metrics Signal Bullish Sentiment as Investors Flock to the Token
AMBCrypto’s analysis of CryptoQuant’s data revealed that buying pressure on Ethereum was high. The net deposit on exchanges was low compared to the last seven-day average, suggesting that investors were holding onto their ETH rather than selling it off. Additionally, active addresses of Ethereum have increased in the recent past, indicating a growing user base and heightened interest in the token. The Coinbase premium for ETH was also green, implying a positive buying sentiment among US investors. Moreover, the derivatives market showed optimism with a green funding rate, signaling active buying of ETH at higher prices.
Resistance Ahead: Can Ethereum Break Through $2,400 and $2,450 Levels?
If Ethereum manages to sustain its bull rally, as suggested by the aforementioned metrics, the coin might face resistance in a few zones. Analysis of Ethereum’s liquidation levels revealed that in order to maintain its bull rally, ETH must go above the $2,400 mark and then the $2,450 mark in the near future. Breaking through these levels will be crucial for Ethereum to continue its upward trajectory. However, with most market indicators pointing to a bullish outlook, the possibility of ETH going above these resistance levels seems likely.
Market Indicators Point to Continued Uptrend for Ethereum [ETH]
Several market indicators support the theory of a continued uptrend for Ethereum. The Money Flow Index (MFI) registered an uptick, indicating increased buying pressure on the token. Furthermore, the Chaikin Money Flow (CMF) followed a similar trend, further strengthening the chances of a continued uptrend. These positive market indicators, paired with bullish metrics, suggest that Ethereum might have the potential to maintain its upward momentum. While market conditions can be volatile and subject to change, the current signs point to a promising outlook for Ethereum.
Analyst comment
Positive news
The market is expected to continue its uptrend for Ethereum (ETH). The coin’s price has surged over 5% in the last 24 hours, indicating a potential shift in market sentiment. Market indicators, such as high buying pressure, increased active addresses, and a positive Coinbase premium, further support the bullish outlook. Ethereum may face resistance at $2,400 and $2,450 levels, but breaking through these levels seems likely based on current market indicators. The market conditions remain promising for Ethereum’s upward momentum.
