Ethereum Continues Uptrend, Reclaims $4,700 Milestone
Ethereum price remains on an upward trajectory, reclaiming a key milestone as it continues its push higher in the current market conditions. The second-largest cryptocurrency by market capitalization has seen a resurgence in momentum, with a 4% gain in the last 24 hours, bringing its trading price to $4,716 at the time of writing.
The recent price surge is part of a broader market rally dubbed “Uptober,” where various cryptocurrencies, including Bitcoin, have been posting significant gains. Ethereum has experienced an 11% increase over the past week, with a market cap of around $570 billion and daily trading volume reaching approximately $40 billion.
One notable factor contributing to Ethereum’s price rise is the strong inflows into U.S.-listed Ethereum exchange-traded funds (ETFs). These ETFs have witnessed a six-day streak of gains, with $177 million in new inflows recorded during the latest trading session, totaling $1.47 billion over the streak.
With Ethereum reclaiming higher ground, investors are now looking towards the possibility of the asset retesting its yearly highs and potentially aiming for a $5,000 price target.
During Ethereum’s previous rally in July, the cryptocurrency reached nearly $4,900, prompting speculations of a push towards the $5,000 level. However, profit-taking activities led to a retracement below $4,000 in September. The current Uptober rally has reignited bullish sentiment, fueling hopes for a sustained upward movement.
Technical indicators also support Ethereum’s latest recovery. The cryptocurrency has broken out of a short-term descending channel and is forming a new ascending structure on the daily chart. This setup mirrors the conditions seen during the July rally, with Ethereum trading above the 30-day simple moving average (SMA) near $4,330, which now acts as a short-term support level.
The relative strength index (RSI) has rebounded towards the midline, indicating a decrease in selling pressure and potential for further upside movement. Immediate resistance is seen at $4,700, a crucial level reclaimed by Ethereum this week. A decisive close above this barrier could pave the way for a push towards the $5,000 target, which coincides with the upper boundary of the new ascending channel.
On the downside, the $4,100 – $4,200 range serves as the first key support zone. Maintaining above this range would sustain the bullish momentum, while a breakdown below could expose Ethereum to a retest of the $3,800 area.
Overall, Ethereum’s price action is indicative of a strong uptrend, with technical signals signaling potential for further gains. As the cryptocurrency market continues to evolve, Ethereum remains a key player to watch for investors and traders alike.