ETH/USD closed at $2648.50 after placing a high of $2648.50 and a low of 2097.31. After declining over the weekend for three consecutive days, ETH recovered most of its losses and gathered some strength to remain green for the day. On Sunday, the co-founder of Ethereum, Vitalik Buterin, published a post on various scalability solutions for blockchains and explained how Musk’s increasing parameters were inadvisable. This post responded to Elon Musk’s claims of speeding up the Dogecoin network by simply increasing protocol parameters. Buterin highlighted the importance of decentralization in response to Musk’s claims regarding Dogecoin’s scalability. Musk has said that DOGE will become the leading chain if it pushes its block size by 900%.
Whereas, Buterin said that the attention of Musk was only on scalability, and for that matter, he was not even focusing on things that make the blockchain what it is. However, Musk could not stop himself from reacting to this post by Buterin and tweeted on Monday that Vitalik fears the Dogecoin. This came eventually as a response to Buterin for criticizing his claims on blockchain scalability.
Meanwhile, an American multinational financial services company, Goldman Sachs Group Inc, has also shared its views on the controversy between BITCOIN and Ethereum. Apparently, the bank was in support of the latter. According to a research report leaked by experts from Goldman Sachs, the bank analyzed and tackled the key arguments that back Ethereum to overtake Bitcoin as a primary store of value in the future.The leaked report from Goldman Sachs suggested that Ethereum, the second-largest cryptocurrency with a market capitalization of $250 billion, has a good chance of overtaking bitcoin as the dominant store of value. The support to Ethereum was given due to its working as a host to a large number of DApps and smart contracts. The bank added that most DeFi apps were being built on the Ethereum network. Most NFTs issued were being purchased using Ether, which increases Ether versus bitcoin transactions and reflects the dominance.
Given this news, Ethereum prices took a U-turn and recovered almost 3/4th of their previous three days’ losses on Monday and reached $2648 level. Meanwhile, the U.S. Dollar Index (DXY) that measures the greenback value against the basket of six major currencies also remained weak across the board and dropped to 89.76 level, supporting the rising prices of ETH/USD on Monday.
ETH/USD Daily Technical Levels
Support Resistance
2281.04 2832.23
1913.58 3015.96
1729.85 3383.42
Pivot Point: 2464.77
ETH/USD is trading at 2,580 areas, facing resistance at the 2,858 level. On the 4-hour chart, the pair has violated the downward trendline that was extending a solid resistance around 2,206 level. For now, the same resistance level is working as a support. The RSI and MACD indicators support the bullish trend in Ethereum. The idea is to stay bearish below 0.3400 area today and bullish above the same. Good luck!