Ethereum Shows Bullish Momentum Amid Market Volatility; Can ETH Hit $3K?

With the volatility in the markets, Ethereum (ETH) has been on a rollercoaster ride as its price has experienced fluctuations over the past week. These fluctuations follow the recent recovery after the entire crypto market crashed earlier this Monday, causing fear, uncertainty, and doubt (FUD) among investors. 

However, some tokens have shown resilience by returning to the green zone and regaining their previous losses. Ethereum is one of these tokens. With an intraday opening price of $2,431, the Ethereum (ETH) token has exhibited bullish momentum as its price peaked at $2,721.95 in the last 24 hours.

ETH/USD 1-Day Chart (Source: CoinMarketCap)
ETH/USD 1-Day Chart (Source: CoinMarketCap)

Nevertheless, the asset’s price slightly dipped, stabilizing around the $2,615.75 threshold at press time. This marks a 7.87% gain in a single day, joining the market’s top gainers. Moreover, the positive price action further impacted ETH’s intraday market cap, pushing it to $309 billion.

ETH Price History

Based on TradingView’s historical data on the daily chart, the ETH token experienced a massive surge of over 94% from January’s low of $2,101, pushing its price to this year’s peak of $4,096. Since then, the token’s price has oscillated between $2,813 and $4,096, showing signs of consolidation.

However, a shift in momentum occurred following the ETH ETF launch on July 21, resulting in a 40% decline, retesting January’s low. This decline was short-lived, as ETH quickly rebounded, stabilizing above the $2,500 support zone. 

Consequently, market analysts forecast that the ETH price could surge significantly, with the potential to challenge this year’s peak, should history repeat itself.

What’s Next for Ethereum?

From a technical perspective, the Relative Strength Index (RSI) is trending upwards, suggesting an increasing bullish sentiment in the short term. Currently positioned at 36.08, the RSI implies ample space for Ethereum to continue its upward momentum before reaching overbought conditions.

ETH/USD 1-Day Chart (Source: TradingView)
ETH/USD 1-Day Chart (Source: TradingView)

This scenario could catapult ETH toward the $2,813 barrier, potentially surpass it, and challenge the next key resistance at the $3,000 zone. A breach above this zone could strengthen ETH’s positive sentiment, pushing it to the $3,200 level, touched on August 2.

On the other hand, the 20-day moving average indicates that the bearish sentiment has the upper hand in the ETH market in the short term. This is evident as it trades above ETH prices at $3,044. Market experts anticipate that ETH could see its price retest the $2,300 support should the 20-day MA continue to act as a resistance level.

Also Read: Metaplanet secures ¥1 billion 0.1% APR loan for more Bitcoin purchases

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