Ethereum Price Forecast – Choppy Session in Play – Bullish Bias to Dominate!
Arslan Butt•Wednesday, May 5, 2021•2 min read
ETH/USD closed at $3233.36 after placing a high of $3453.21 and a low of $3233.36. After placing a new all-time high (ATH) at $3453, ETH/USD faced rejection and started falling to post losses on Tuesday. Ethereum broke its nine-day bullish streak on Tuesday amid correction and profit-taking as well as because of the strength in the U.S. dollar for the day. Another reason behind the fall could be the latest comments from Kevin O’Leary, a famous actor from popular television program Shark Tank, who said that no matter how popular Ethereum is or how big and strong it has become, it will always remain “number-two” and will follow Bitcoin.
O’Leary was confident that Ethereum will always remain the second-largest cryptocurrency. He showed much respect for Bitcoin and said that Ethereum does not have the size of BITCOIN. He concluded that Ethereum would be a form of payment while Bitcoin will be something that investors continue to speculate, buy and get rich from.
According to CoinShares, institutional investment managers bought $30.2 million worth of Ethereum last week, bringing their total holdings to a record $13.9 billion. The rising interest of investors in smart-contract platforms raised inflows into Ethereum products. The month-to-date inflows for ETH products totaled $170 million, bringing the yearly total to $824 million. On Tuesday, the educational arm of crypto-exchange, OKEx Academy, published a research report that took a closer look at the institutional interest in Ethereum using data from leading digital asset data provider CryptoCompare. Furthermore, Wisdom Tree Investments launched a physically-backed Ethereum ETP on two European Stock Exchanges. The new product launched on Germany’s Borse Xetra and the SIX Stock Exchange was the firm’s second crypto-related ETP released in the past month.
ETH/USD Daily Technical Levels
Support Resistance
3160.07 3379.92
3086.79 3526.49
2940.22 3599.77
Pivot Point: 3306.64
The
ETH/USD pair is trading sharply bullish at 3,346 level, having violated the ascending
triangle pattern on the 4-hour chart. On the higher side, ETH/USD is likely to face the next resistance at 3,465 level, and violation of this can extend buying trend until the 3,537 level. The pair is expected to gain support at the 3,181 and 2,937 levels today. The
technical indicators such as RSI and MACD support a solid bullish trend; therefore, we should look for buying positions in the pair. Let’s consider taking a buy trade today over 2,950. Good luck!
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
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