Ethereum Price Analysis: ETH Bulls Comeback Following Major Drop
Daily Ethereum ETH Price Forecast
- Ethereum price had flipped key levels from support to resistance.
- Number of addresses holding >10,000 is on a slow decline.
After reaching a monthly high of $1.920 on March 14, the Ethereum price went down to $1,575 in the next 10 days. Since then, the ETH buyers utilized the $1,600 support line to bounce up to $1,620 over the next two days.
Ethereum Price Bounces Up From $1,600 Support
Despite the bullish resurgence, the overall sentiment of Ethereum price is definitely negative because of the following:
- The 20-day and 50-day SMAs have reversed from support to resistance.
- The parabolic SAR has flipped from positive to negative.
- The RSI is still close to the oversold zone, so there is more scope for ETH to drop.
Image: ETH/USD daily
Looking at the IOMAP, we can see that there is a robust resistance wall at the 20-day SMA ($1,765). Previously, 555,000 addresses had purchased 12 million ETH tokens.
Ethereum Whales Selling
Ethereum whales are selling their coins, as per santiment:
“#Ethereum has continued to dance around $1,600 today, and looking at the amount of whale addresses (10,000 $ETH or more represented by the gold line) fluctuating over time, the price correlation is quite clear. Watch this mild decline closely.”
NY Times Writer Turns Column Into NFT
New York Times writer Kevin Roose has recently tokenized one of his columns on Ethereum as a non-fungible token (NFT). The person who places the winning bid will receive an Ethereum token that would include an image of the article itself. The buyer would also be featured in a follow-up article and would receive a congratulations message from Michael Barbaro. Barbaro is the host of the New York Times’ daily podcast.
The NFT will not include copyright or reproduction rights, but it will presumably be freely tradeable, similar to other NFTs. Roose stated that the biggest perk is “is owning a piece of history.” He noted that if NFTs become more famous, buying this NFT would be like “owning NBC’s first TV broadcast or AOL’s first email address.” However, he also admitted that NFTs could be a temporary fad and that the token may not maintain its value.
Proceeds from the sale will be converted to USD and donated to The New York Times’ Neediest Cases Fund, which has raised more than $300 million since 1911. Roose is auctioning his NFT on Foundation, a marketplace for Ethereum-based NFTs.
Some of the bidders for the NFT include Neeraj K. Agrawal, director of communications at Coin Center and Zach Klein, the co-founder of Vimeo.
Ethereum Price Is Expected To Reach These Levels
It will be interesting to see how the bulls react if Ethereum price somehow reaches the 20-day SMA.