Ethereum (ETH) surged above $2,800 for the first time since August. It indicated that the bulls are back in the crypto market. ETH is now trading at around $2,806, recording a 3.09% gain.
The experts and the key indicators have given a hint towards further upward movement and the traders are advised to keep an eye on the level of resistance and support.
Ethereum’s Current Price Action
The price of Ethereum is presenting a new upsurge revealing that the bulls are dominant in the market. It has positioned Ethereum above the 20-day SMA of $ 2568.61 pointing towards the strong buying sentiment in the market.
– Advertisement –
Ethereum may experience a reversal as it has already surpassed the upper Bollinger Band at $2,791.37, though the continuation of the upward trend might suggest that the bulls are in control.
However, when prices rise above the upper Bollinger Bands, this can be interpreted as an increase in buying pressure. Yet, it could also signal temporary resistance if the rally struggles to maintain this momentum.
Bollinger Bands and RSI indicators
The price of Ethereum is above the upper Bollinger Band at $2,791.37 signifying that Ethereum has reached overbought territory and there is higher volatility.
The Relative Strength Index (RSI) stands at 64.42 indicating that Ethereum has the potential for higher prices before reaching the 70 level which is considered overbought.
This means that bulls might still control the market in short-term trends with the RSI line pointing up, indicating increased buying pressure. If it goes up to the 70 mark it could lead to consolidation or even a minor sell-off as traders take their profits.
Analyst Insights: Predictions and Sentiment
However, several crypto analysts remain positive and expect the ETH price to rise. The Byzantine General trader pointed out the potential for a “monster rally” for Ethereum as it approached higher levels.
Some pointed out that Ethereum’s performance has outperformed other altcoins like Bitcoin and Solana. This shows that ETH’s position in the market is strengthening.
Dan Tapiero, founder of crypto fund 10T Holdings, was very optimistic about ETH and predicted that it could reach $8,000 in the next year. Other forecasts included when Ethereum would rally to $5,000.
