Ethereum Shining But Not Out of the Bear Shadow: ETH Targets $3,500

Ethereum is marching higher, outperforming Bitcoin. Still, bears have the upper hand as long as ETH is capped below $3,500

Written by: Dalmas Ngetich • Tuesday, July 30, 2024 • 2 min read

• Last updated: Tuesday, July 30, 2024

Ethereum is turning the corner, shaking off the weakness of last week, looking at the performance in the daily chart. Even though prices fell post-spot Ethereum ETF approval, there is confidence that the uptrend is just starting. Buyers are bogged down by the massive outflows from Grayscale’s ETHE. However, inflows from BlackRock and Fidelity could help steer the coin higher, propping up prices and reinvigorating buyers. So far, traders are monitoring how prices will react at $3,500 and $3,700 in the short term.

Amid the recovery, Ethereum is stable on the past day but down 3% in the previous week. This drop is primarily because of last week’s dump following the listing and trading of spot ETFs on July 23. So far, the average trading volume remains muted at just $17 billion. However, considering the nature of engagement and its direct correlation with price action, trading volume will swell in the coming days.

Ethereum Daily Chart for July 30

Traders are closely monitoring the following Ethereum news events:

Yesterday, the Ethereum Foundation moved all their TKO holdings to Bitcoin Suisse. On-chain data showed that the foundation moved nearly 3.5 million TKO worth over $9.5 million to the custodian roughly a month after the Taiko mainnet launched.
Vitalik Buterin, the co-founder of Ethereum, claims the network is decentralized, and there are ongoing developments to make the platform even more robust.

Ethereum Price Analysis

ETH/USD might be bullish at spot rates.

However, even as ETH prints higher highs, it has yet to completely wipe out July 24 and 25 losses. Therefore, from an effort-versus-result perspective, bears have the upper hand.

For this reason, aggressive traders can consider shorts, targeting $3,000 and $2,800, especially if ETH struggles to gain momentum today.

On the other hand, a safe entry might be presented once the price closes above $3,500. This development would mean the total reversal of last week’s losses.

If this breakout is with rising volume, ETH might soar to $3,700 in a buy trend continuation formation.