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Ethereum Price Analysis: ETH Buyers Make Up For Tuesday’s Losses

Daily Ethereum ETH Price Forecast

3 Min Read
Last Updated May 6th 2021
  • Ethereum price had nine bullish sessions out of the last ten.
  • The RSI is still in the overbought zone.

Ethereum price has managed to chart nine consecutive green candlesticks between April 25 and May 3. During this upward surge, ETH jumped from $2,200 to $3,300, gaining a staggering $1,100, in the process. However, this Tuesday, ETH dropped to $3,245 as the price faced a bearish correction.

Ethereum Price Makes Up For Tuesday’s Losses

The buyers took back control of the market this Wednesday as Ethereum price jumped up from $3,245 to $3,470, making up for Tuesday’s losses. As per the relative strength index (RSI), ETH is presently overbought and may face bearish correction. 

Image: ETH/USD daily

Ethereum ETH Daily Chart

On the downside, Ethereum price has a robust support wall at $2,950 wherein nearly >8,000 addresses had purchased almost 7 million ETH tokens.

Image: IntoTheBlocks

Ethereum ETH Volume Chart

Number of ETH 2.0 Deposits Hits ATH

ETH 2.0 Deposits

The number of new accounts depositing to the Ethereum 2.0 deposit contract hits a new ATH with 1,368, as per CryptoQuant.

Exchange Outflow > Exchange Inflow

ETH Exchange Outflow and Inflow

Santiment shared the above chart with this tweet:

“#Ethereum has hit new historical #AllTimeHigh territory, jumping to $3,550. Watch $ETH's exchange flow balance, which has favored coins moving off exchanges more than on. This implies higher chance of continued growth, and lower risk of major selloffs.”

Ethereum Institutional Investors On The Rise

ETH Institutional Investors

CryptoQuant also shared the following tweet along with the chart:

"Another evidence that US (institutional) investors are buying $ETH at @Coinbase . $ETH Coinbase premium has been significantly increased since early 2021. New money is flowing into the crypto market."

Mogo Adds 146 ETH to Firm's Balance Sheet Will Turn 5% of Its Portfolio Into Crypto Assets

Canadian fintech firm Mogo recently announced a corporate purchase of Ether(ETH). The new investment follows the company’s initial Bitcoin purchase back in December 2020. At the end of March, Mogo mortgage clients were offered BTC rewards if they got a mortgage through the company or refinanced an existing property.

Mogo recently explained that it obtained 146 ETH at around $2,780 per unit. Both the Bitcoin and the recent Ether investments are part of the firm’s plan to increase the company balance sheet with blockchain investments. It said:

Mogo plans to invest up to 5% of its cash and investment portfolio value in cryptocurrencies.

Greg Feller, President, and CFO of Mogo, noted:

This initial investment in Ether complements our earlier investments in Bitcoin and reflects our belief in the long-term potential of blockchain technology and its position as a core component of a next-generation financial technology platform.

Notably, Mogo is one of many companies represented on the bitcointreasuries.org website. The recently added ETH is not represented on the web portal as the site only focuses on Bitcoin-based treasuries. 

According to the numbers on bitcointreasuries.org, the entire lot of companies and hedge funds hold over $77 billion worth of BTC, more than 1.4 million bitcoins, and approximately 6.78% of the entire Bitcoin supply.

Ethereum Price Is Expected To Reach These Levels

The buyers will want to reconquer the $3,500 psychological level before facing a further bearish correction.

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