This article is also available in Spanish.
Ethereum (ETH) surged past $2,700 for the first time in a week on Wednesday, sparking optimism among several cryptocurrency analysts. Some have suggested that the second-largest cryptocurrency will soon break out of the next resistance level and reclaim the $3,000 mark.
Related Reading
Ethereum retests $2,700
Ethereum surged above key resistance levels on Wednesday morning as most cryptocurrency markets surged. The cryptocurrency rose 3.1% towards the $2,700 horizontal level, hitting $2,722 before falling back to $2,710.
Over the past week, ETH has hovered between the $2,430-$2,650 range after failing to hold support. This performance worried many investors and market observers, who have been heavily critical of the cryptocurrency’s price action throughout the year.
However, today’s rise represents a 5.6% increase over the weekly period, which has sparked optimistic sentiment among the community. Crypto trader CRG noted that Ethereum is testing the pair’s level of support against Bitcoin (BTC) at a higher time frame (HTF).
According to the chart, ETH/BTC is retesting HTF support at the 0.0377 level. The 0.023-0.040 area has been an important area between 2020 and 2021, and ETH’s all-time rally began after it broke the upper limit of this range.
The trader suggested that Ethereum’s surge may be short-lived as the “king of altcoins” has seen “disappointing” performance despite the approval of an ETH exchange-traded fund (ETF). “ETH is like a toxic ex-girlfriend who makes you come back,” he joked.
Likewise, cryptocurrency analyst Michael van de Poppe said that now is the time to be bullish on ETH, noting that there is a “huge bullish gap” on the 1-day timeframe on the ETH/BTC chart, while the 3-day timeframe has seen a “pop-up”. suggested. -Day time zone. Van de Poppe pointed out that the 0.051 area is an important area for trend reversals.
Will ETH hit $3,000 in 2 weeks?
Various cryptocurrency analysts have set the $2,800 resistance level as the next important area if Ethereum successfully regains the $2,700 mark. Analyst Crypto Yapper pointed out that ETH has registered five consecutive green daily candles since rebounding from last week’s lows.
According to analysts, if ETH breaks above the $2,800 horizontal level, the cryptocurrency will rebound towards the $3,000 resistance level and potentially kick off altcoin season.
Likewise, van de Poppe suggested that Ethereum could surpass the important horizontal level in the next two weeks as it gained liquidity around the $2,450 level and “went back to resistance.” According to analysts, this could push the price of ETH to $3,000 in November.
Related Reading
ETH has been hovering between the $2,680-$2,690 price range over the past hour, rejecting the $2,700 resistance level. As of this writing, the cryptocurrency is trading at $2,693, up 1.4% and 3.3% on daily and monthly time frames.
Nonetheless, it is worth noting that cryptocurrency markets may continue to face high volatility in the coming days as speculation increases ahead of the US presidential election.
Featured image from Unsplash.com, chart from TradingView.com