Big Ethereum Price Movement Looms as Trades Remain Rangebound

Big Ethereum Price Movement Looms as Trades Remain Rangebound


Discover the latest technical and on-chain analysis of Ethereum’s stagnant price, including a consolidation phase, resistance levels, and the future of the Ethereum 2.0 upgrade.

Ethereum (ETH) has remained stagnant for an extended period of time, leaving the market with uncertainty and full of bearish sentiment. Nonetheless, the price is consolidating inside a tight range, and a breakout could eventually  hint at the following move’s direction.

Technical Analysis

By Shayan

The Daily Chart

The price faced resistance at the $2K level and following that dropped below a short-term upward trendline. It is now undergoing a pullback to test this same trendline.

In the meantime, Ethereum (ETH) is up against the 100-day moving average, which represents a strong level of support positioned at $1781. A whole lot of boost in selling pressure would be necessary to be able to push the price below this critical price point.

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Presently, Ethereum (ETH) is confined during a tight range, approximately betwixt the 100-day moving average at $1781 and the ascending trendline around $1890. A breakout from this range will likely determine the short-term outlook of Ethereum.

The 4-Hour Chart

Zooming in on the 4-hour chart, the dull price action becomes more evident, with small candles indicating a lack of clear direction. During the consolidation phase, Ethereum (ETH) briefly touched the upper boundary of the descending wedge pattern but was rejected.

On the 4-hour timeframe, 3 important price zones come into play: the lower threshold of the multi- 30 days ascending channel (indicated by purple lines), the whole lot of level of $1.7K acting as support, along with the upper trendline of the wedge pattern (marked with yellow lines), serving as resistance.

Given the present price action, it is challenging to anticipate Ethereum’s short-term outlook until a breakout occurs.

eth_price_chart_2505232
Source: TradingView

On-chain Analysis

The ongoing surge in the ‘valid Ethereum (ETH) balance in the deposit contract’ serves as a whole lot of testament to the active engagement of validators in Ethereum (ETH) 2.0. This remarkable transition unfolds with the fundamental assumption that the revolutionary ‘Proof of Stake’ consensus mechanism has already been successfully implemented.

The continuous commitment of validators to stake their Ethereum (ETH) in the deposit contract carries profound implications for future of the Ethereum (ETH). Beyond its immediate significance in facilitating the Ethereum (ETH) 2.0 upgrade, this growing staking activity is perceived as an encouraging sign that bolsters optimism regarding the future price trajectory of Ethereum.

In conclusion, the persistent boost in the ‘valid Ethereum (ETH) balance in the deposit contract’ demonstrates how validators actively take part in Ethereum (ETH) 2.0. Their ongoing staking activity not only supports the network’s transition to Proof of Stake but likewise boosts confidence in future of the Ethereum.

eth_total_value_staked_chart_2505231
Source: CryptoQuant



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