News
Ethereum Shines Brightly: May 21, 2024 Crypto Analysis
While Ethereum seemed on the verge of oblivion, its price rebounded by almost 20%. Let’s examine the future prospects of ETH together.
Ethereum (ETH) price situation.
After facing downward pressure that pushed it up to $2,900, Ethereum price stabilized at this price level. It took us waiting until the week of the final deadline for the approval of spot ETFs on Ethereum by VanEck, 21Shares & ARK, to increase the volatility of the cryptocurrency. Fortunately for Ethereum, expectations, which became more optimistic on Monday 20 May, allowed the cryptocurrency to appreciate by more than 20%. Therefore, Ethereum reached a resistance level of $3,700, as noted in analysis dated May 9, 2024.
As of this writing, one Ether is worth $3,650. It appears that the cryptocurrency is now stabilizing below its resistance level. These recent bullish fluctuations have allowed ETH to position itself above its 50-day moving average again, which could reassure investors about the cryptocurrency’s performance. On the momentum side of Ethereum, a notable recovery can be observed, as evidenced by the oscillators and the price of Ethereum itself. All these elements therefore seem encouraging for the continuation of this movement.
The current technical analysis was conducted in collaboration with Elie FT, a passionate investor and trader in the cryptocurrency market. Today he is a coach at Family businessa community of thousands of proprietary traders active since 2017. There you will find lives, educational content and mutual support on the financial markets in a professional and warm atmosphere.
Ethereum (ETH) price hypothesis.
- If the price of Ethereum remains above $3,400, we could anticipate a breakout of $3,700. The next resistance to consider would be $3,900, or even $4,100. If the bullish movement continues, a new high at $4,400 could be marked. If Ethereum’s momentum were to accelerate, it would not be impossible for Ethereum to reach its all-time high around $4,800. At this stage it would represent an increase of more than 31%.
- If the price of Ethereum fails to remain above $3,400, a return around $3,100 could be considered. The next support to consider, if the bearish movement continues, would be in a price range around $3,050. At this stage it would represent a drop close to -17%.
Conclusion
After a period of decline, Ethereum has seen a notable recovery, supported by optimistic expectations related to the approval of Ethereum spot ETFs. This positive momentum, illustrated by the reaching of a key resistance level and the recovery of confidence among investors, suggests an encouraging trend for the cryptocurrency. However, we will have to wait for official announcements to confirm the acceptance of these ETFs and, consequently, the continuation of the enthusiasm for the cryptocurrency. Therefore, it will be crucial to closely observe the price reaction at different key levels to confirm or refute current assumptions. It is also important to remain vigilant in the face of potential “fake outs” and market squeezes in each scenario. Finally, let us remember that these analyzes are based exclusively on technical criteria and that cryptocurrency prices can also evolve rapidly based on other more fundamental factors.
Maximize your Cointribune experience with our “Read to Earn” program! Earn points for every article you read and access exclusive rewards. Sign up now and start earning benefits.
Click here to sign up to “Read to Earn” and turn your passion for cryptocurrencies into rewards!
Family business
Family Trading is a community of traders active since 2017 that offers Lives, educational content and contacts with the financial markets, not celuting cryptocurrencies with their friends Elie FT, passionate investor and trader on the cryptocurrency market.
Disclaimer:
The contents and products mentioned on this page are in no way endorsed by Cointribune and should not be construed as its responsibility.
Cointribune strives to provide readers with all relevant information available, but cannot guarantee its accuracy or completeness. Readers are encouraged to inform themselves before taking any action against the company and to take full responsibility for their decisions. This article does not constitute investment advice or an offer or invitation to purchase any products or services.
Investing in digital financial assets involves risks.