The Key Reason Why Ethereum Could Move Even Higher After 20% Bounce

The Key Reason Why Ethereum Could Move Even Higher After 20% Bounce

While legacy markets and Bitcoin have rejected from local highs, Ethereum has been holding up well. Since the launch of Uniswap’s UNI token, the price of the leading cryptocurrency has surged around 6-7%.

From the lows set earlier this month, the coin is up in excess of 20%, shocking some commentators who thought this market was on the verge of a bear trend.

Ethereum is primed to move even higher in the days ahead.

Ethereum is primed to continue its ascent in the days ahead as on-chain statistics favor bulls, blockchain analytics firm Santiment reported on September 17th.

According to their data, there is a divergence forming between ETH’s price action and the daily active address count on the Ethereum network. The last time such a divergence was seen was prior to a strong 20% uptrend in August/Early-September. This is also the first positive divergence since August, suggesting that bulls may soon reassert control over ETH’s price action:

“$ETH has separated from $BTC on a bullish Thursday, as our DAA Divergence Model indicates it has room for more growth on a refreshing +7% price surge. On the day, #Ethereum is on pace for 456k active addresses, which would be its highest output since 8/8.”

Image

Chart of ETH's price action over the past few months with analysis of Ethereum's daily active addresses (and its divergence to price) by crypto and blockchain data firm Santiment (@SantimentFeed on Twitter).

ETH’s long-term fundamentals remain in a good state despite the recent price action.

Chris Burniske, a partner at Placeholder Capital, recently commented on Ethereum’s prospects in this market cycle:

“Meanwhile, to the mainstream $ETH will be the new kid on the block — expect a frenzy to go with that realization. Given $ETH’s outperformance of $BTC over its lifetime (chart below again), not to mention smaller network value and strong on-chain economies, I see every reason for $ETHBTC to surpass ATHs.”

This was echoed by Joseph Todaro of Blocktown Capital.

He said that DeFi will do more to drive Ethereum higher than ICOs last cycle:

“In 2017 ICOs aided in moving ETH beyond $100 billion marketcap. In this next cycle, Defi will likely help push ETH to $1 trillion marketcap.”

Ethereum may run into short-term concerns, though, with transaction fees hitting notable highs.

Source: icryptodesk.com

Author: admin


Ethereum Lacking Momentum, But Here’s Why ETH Could Surge Past $400

Ethereum Lacking Momentum, But Here’s Why ETH Could Surge Past $400

Ethereum extended its rise above the $390 zone and traded close to $400 against the US Dollar. ETH price is currently correcting lower and it is likely to find support near $380.

  • Ethereum is trading in a positive zone and it recently broke the $390 resistance.
  • The price traded as high as $395 and settled well above the 100 hourly simple moving average.
  • There is a major bullish trend line forming with support near $378 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to climb higher above $400 as long as it is above the $375 support zone.
  • In the past few sessions, Ethereum saw a steady increase above the $375 resistance zone. ETH price remained well supported and it managed to climb above the $385 and $390 levels.

    There was also a close above the $380 level and the 100 hourly simple moving average. Ether price broke the $390 level and traded as high as $395. It failed to test the $400 resistance and it is currently correcting lower.

    It broke the $388 level, and the 50% Fib retracement level of the recent increase from the $374 low to $395 high. On the downside, there is a strong support forming near the $378 and $380 levels. There is also a major bullish trend line forming with support near $378 on the hourly chart of ETH/USD.

    Ethereum Price

    Ethereum price trades above $390. Source: TradingView.com

    The $380 support zone is also close to the 61.8% Fib retracement level of the recent increase from the $374 low to $395 high. If ether stays above the $378 support and the trend line, it could resume its upward move.

    An initial resistance is near the $390 level. The first major resistance is near the $395 level. The main resistance is near the $400 level, above which the price is likely to accelerate higher towards the $420 level.

    If Ethereum fails to stay above the $378 support zone and the trend line, there is a risk of a downside break. The first major support is near the 100 hourly SMA and $375.

    The next major support for the bulls is near the $370 level, below which the bears are likely to gain strength and the price might decline towards the $355 support zone.

    Technical Indicators

    Hourly MACD – The MACD for ETH/USD is slowly gaining pace in the bearish zone.

    Hourly RSI – The RSI for ETH/USD is still above the 50 level.

    Major Support Level – $378

    Major Resistance Level – $390

    Aayush Jindal

    Source: www.newsbtc.com

    Author: Aayush Jindal


    Ethereum Lacking Momentum, But Here’s Why ETH Could Surge Past $400 – news.kuaidiantou.vip

    Ethereum Lacking Momentum, But Here’s Why ETH Could Surge Past $400 – news.kuaidiantou.vip

    Ethereum extended its rise above the $390 zone and traded close to $400 against the US Dollar. ETH price is currently correcting lower and it is likely to find support near $380.

  • Ethereum is trading in a positive zone and it recently broke the $390 resistance.
  • The price traded as high as $395 and settled well above the 100 hourly simple moving average.
  • There is a major bullish trend line forming with support near $378 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to climb higher above $400 as long as it is above the $375 support zone.
  • In the past few sessions, Ethereum saw a steady increase above the $375 resistance zone. ETH price remained well supported and it managed to climb above the $385 and $390 levels.

    There was also a close above the $380 level and the 100 hourly simple moving average. Ether price broke the $390 level and traded as high as $395. It failed to test the $400 resistance and it is currently correcting lower.

    It broke the $388 level, and the 50% Fib retracement level of the recent increase from the $374 low to $395 high. On the downside, there is a strong support forming near the $378 and $380 levels. There is also a major bullish trend line forming with support near $378 on the hourly chart of ETH/USD.

    Ethereum Price

    Ethereum price trades above $390. Source: TradingView.com
    What cryptocurrency will become the main one in a year?
    BitcoinEthereum

    The $380 support zone is also close to the 61.8% Fib retracement level of the recent increase from the $374 low to $395 high. If ether stays above the $378 support and the trend line, it could resume its upward move.

    An initial resistance is near the $390 level. The first major resistance is near the $395 level. The main resistance is near the $400 level, above which the price is likely to accelerate higher towards the $420 level.

    If Ethereum fails to stay above the $378 support zone and the trend line, there is a risk of a downside break. The first major support is near the 100 hourly SMA and $375.

    The next major support for the bulls is near the $370 level, below which the bears are likely to gain strength and the price might decline towards the $355 support zone.

    Technical Indicators

    Hourly MACD – The MACD for ETH/USD is slowly gaining pace in the bearish zone.

    Hourly RSI – The RSI for ETH/USD is still above the 50 level.

    Major Support Level – $378

    Major Resistance Level – $390

    Source: news.staging.app.kuaidiantou.vip


    Ethereum News Today – Headlines for September 19

    Ethereum News Today – Headlines for September 19

    • Ethereum daily number of transactions reaches new highs
    • Ethereum’s transaction fees have risen again
    • The ETH bulls are targeting the $400 area

    Ethereum News Today – Ethereum’s price remains resilient. At press time it was trading at $380. There is optimism for the coin considering the high demand in the network. Data given by Etherscan indicates that Ethereum usage has exceeded 95%. This has been consequential to the promising aspects of the network.

    Despite the competing platforms that offer better scalability and fewer transaction fees, Ether is the leader when it comes to DeFi. One of such is Uniswap. Unisawp’s developers recently launched its governance token known as UNI. Technically, the token may seem worthless in the eyes of the founding team of Unisawp. The network said it will distribute over 100 billion UNI tokens among investors, its team, and liquidity providers.

    Hours after the token was launched, it was supported by Coinbase. Later on, Binance launched UNI futures, which pumped its price to $5. The airdrops promoted early adopters into the millionaires club. With the high demand, came high transaction fees. Transaction Fees rose to $1 million according to GlassNode. After the news, the number of on-chain daily transactions on Ethereum rose to new highs. It even exceeded the sum registered in the greater ICO-pump of 2017/2018. This happened, despite the high Gas fees which have forced Coinbase to pass fees to their clients in a notification on September 18. Here is how it was revealed:

    “From today, Coinbase Pro will be passing network fees to our customers directly.”

    These fees (which are sometimes called gas fees” on the Ethereum Blockchain) are directly paid to miners who process transactions. Miners secure the network as well.

    The price of Ethereum remains in the consolidation zone despite the growing confidence among traders. The digital asset is bullish but under-performs BTC during the past seven days of trade. The daily chart shows a tepid price action with reducing trading volumes. There are caps at $400 (which is ETH/USD’s immediate resistance) and the highs from September 6. The bulls seem exhausted. However, the primary trend is northwards. After reacting from the 61.8% Fib retracement area with rising volumes, the ETH bulls should aim for the $400 level.

    However, this will depend on the level of participation in overcoming sellers. From an analysis of trade volume, confirmation of September 17 bulls as well as the reversal of September 5 losses will trigger demand. This could lift the price of Ethereum to $480. A sharp drop below the $350 area could see the price of ETH return to September lows of $320.

    News Source

    Source: elevenews.com

    Author: Published 3 hours ago


    The Key Reason Why Ethereum Could Move Even Higher After 20% Bounce


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