Ethereum Price Analysis: ETH Bulls Fightback After Bouncing Up From Crucial Level
Daily Ethereum ETH Price Forecast
- Ethereum price is on the verge of flashing red-nine in the TD detector.
- The MACD indicates sustained bearish market momentum.
The Ethereum price encountered resistance at the 20-day SMA and crashed from $2,580 to $1,880 from June 15 to June 23, finding crucial support at the 200-day SMA. Prior to that, between June 4 and June 11, ETH dropped from $2,860 to $2,350, flipping the 20-day SMA from support to resistance.
Ethereum Price Bounces Up From 200-day SMA
The Ethereum price bounced up from the 200-day SMA and went from $1,880 to $1,960 – gaining almost $100 in valuation. However, the MACD shows sustained bearish momentum so a further drop could be in the cards. As per the TD sequential detector, ETH could drop for one more session before flashing the red-nine candlestick.
Image: ETH/USD daily
Looking at IntoTheBlock’s IOMAP, we can see that the Ethereum price has healthy support at 200-day SMA ($1,875). Previously, at this level, over 755,000 addresses had purchased almost 2.5 million ETH tokens.
Many Believe That The Ethereum Flippening Will Happen
Ethereum is the second-largest cryptocurrency by market cap, after Bitcoin. Over the years, Ether has garnered a solid reputation amongst developers looking to establish new coins and decentralized applications. While it does not have the size and strength of Bitcoin, many believe its network is more adaptable due to its smart contracts.
Over the past year, Bitcoin has rallied by about 300%. On the other hand, Ethereum rose more than 1,000%. ETH has experienced a heavy dip alongside Bitcoin. However, this dip is still considerably less than that BTC has endured, making many individuals wonder if Ethereum has somehow become more stable than BTC.
In a recent interview, Nathan Cox of Two Prime fame said:
In the long, long, multi-year timeline, yes. Ethereum will flip bitcoin. It is just now starting to be understood by the second-tier adopters. Ethereum’s utility alone will outstrip anything else… Bitcoin is digital gold, but Ethereum is digital oil. Our outlook is bullish overall. Most of the pain of this pullback has probably been experienced already.
Cox is not the only person who believes that Ethereum is harnessing a hidden power. Over the past few months, many analysts have claimed that ETH will soon eclipse Bitcoin to earn the number one spot on the crypto ladder. Mike McGlone, an analyst with Bloomberg, earlier stated this very idea in early June, while financial giant Goldman Sachs had previously issued a new report claiming that Bitcoin will one day lose its position to Ethereum.
Ethereum Price Is Expected To Reach These Levels
Ethereum price needs to break back into the $2,000 psychological level and break past the $2,050 resistance barrier to continue the upwards trend.