Ethereum (ETH) has recently surged past the $2,000 mark, marking its highest price since March. This significant jump of over 10% has led many analysts to believe that Ethereum could potentially reclaim its macro range in the upcoming days.
Ethereum Hits Seven-Week High:
After retesting the $2,000 resistance, Ethereum hit a seven-week high of $2,075, a level it had lost at the end of March. Following this loss, Ethereum plummeted to a two-year low of $1,385 in the subsequent weeks. However, amidst the late-April market recovery, ETH managed to climb above crucial levels, reclaiming the $1,600-$1,750 zone over the last 14 days. Although the cryptocurrency had reclaimed the $1,800 resistance earlier this week, some investors were concerned about its sideways price action and the possibility of a drop to lower support levels.
Nonetheless, ETH surged by 8.3% to reach the $1,950 level after US President Donald Trump announced a “major trade deal” with the UK, boosting market sentiment. This deal, valued at $6 billion, propelled Ethereum past the $2,000 mark and closer to the $2,100 level. Analysts noted a strong breakout, with the cryptocurrency holding the bottom of its historical demand zone and rebounding by around 14% towards the top of the range.
ETH Eyes New Bull Rally:
Analyst Rekt Capital emphasized the importance of ETH maintaining the $1,930 level to avoid an upside wick and confirmation of a breakout towards the $2,200 area. The goal for Ethereum is to utilize the light blue historical demand area to realign with its $2,200-$3,900 Macro Range.
Rekt Capital also pointed out that ETH’s dominance was increasing after hitting new All-Time Lows, similar to its performance in 2020. Additionally, Daan Crypto Trades highlighted that Ethereum was testing its range high against its BTC trading pair, which could potentially lead to a market-wide impact on altcoins.
Despite the positive price action, traders advised caution until ETH/BTC breaks out and holds above the 0.0202 range high, indicating a potential reversal in ALT/BTC pairs. Looking ahead, investors should be prepared for a significant price move that could ignite a new bull rally if Ethereum clears the key supply barrier at around $2,380.
As of the latest update, Ethereum is trading at $2,050, reflecting a 13.5% surge in the daily timeframe. The cryptocurrency’s performance in the one-week chart shows promising signs of upward momentum, indicating a potential continuation of the bullish trend.
In conclusion, Ethereum’s recent price surge and positive market sentiment suggest a favorable outlook for the cryptocurrency, with the potential to reclaim its macro range and ignite a new bull rally. Investors and traders are advised to closely monitor ETH’s price movements and key resistance levels for potential trading opportunities.