Ethereum Price Forecast – ETH/USD Upward Channel Supports Buying – Can ETH Target 3000?
ETH/USD closed at $2705.09 after placing a high of $2747.49 and a low of $2388.81. Ethereum extended its bullish trend and rose for the
Arslan Butt•Wednesday, May 26, 2021•2 min read
ETH/USD closed at $2705.09 after placing a high of $2747.49 and a low of $2388.81. Ethereum extended its bullish trend and rose for the second consecutive session on Tuesday to reach near the $2800 level amid recently improved market sentiment. The co-founder of Guggenheim Partners and the Chairman of the blockchain project – Overline, Todd Morley, said that Ethereum has much higher utility than Bitcoin on Tuesday. He also outlined ETH’s development progress.
While comparing the utilization of the networks behind the top two digital assets, he called Bitcoin a “thing”, sounding unimpressed with the crypto market leader. On the other hand, he praised the functionality and structure of Ethereum. He said that the blockchain project behind the second-largest cryptocurrency has a much higher utility through smart contracts.
He also announced that he was building the world’s largest non-fungible token (NFT) museum. He added that Guggenheim Partners was very interested in modern infrastructure and aims to introduce investors to the crypto community and become a global digital ambassador.
Meanwhile, the founder of Ethereum, Vitalik Buterin, has said that the blockchain may move to a low-energy system by the end of 2021. The current proof-of-work mining process uses more energy than the upcoming proof-of-stake process. The transfer to POS will reduce the energy usage to 0.001% of the current energy use in the POW process.
Buterin said he was happy that the proof-of-stake would solve the current problem with the blockchain as the huge amount of electricity used in POW technology has been criticized lately. Buterin was also optimistic that the shift in technology would increase the trading of cryptocurrency and its value.
Another reason behind the rising prices of ETH/USD was the latest weakness in the U.S. dollar driven by the declining U.S. Treasury yields and rising risk-on market sentiment. The declining U.S. dollar added further support to the rising prices of the pair on Tuesday.
ETH/USD Daily Technical Levels
Support Resistance
2168.62 2748.03
2532.35 2791.17
2489.21 2877.44
Pivot Point: 2661.76
ETH/USD is trading bullish at the 2,915 level, facing resistance at the 3,004 level. On the 4-hour chart, the pair has violated the double top resistance that was extending a solid hurdle around 2,740 levels. For now, the exact resistance level is working as support at 2,740 levels. The RSI and MACD indicators support the bullish trend in Ethereum. The idea is to stay bullish over 2,739 areas today to target the 3,004 level. 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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