Ethereum price has bounced back 3.5% reclaiming the crucial resistance of $2,000 with market analysts believing that this could be the start of a multi-week rally. On-chain indicators are also showing strength with ETH exchange supplies falling significantly.
Ethereum Price Recovery Very Soon?
Renowned crypto analyst Crypto Patel stated that Ethereum’s weekly Relative Strength Index (RSI) has reached extreme oversold levels. Previously, only on two such occasions, the ETH RSI has hit these low levels. “This oversold signal has consistently preceded massive multi-week rallies,” Patel noted in a recent statement.
As Ethereum continues to trade below key resistance levels, this historical trend suggests the potential for a substantial price rebound in the coming weeks.
Furthermore, the analyst has advised investors to buy every dip ahead. “Accumulate every dip between $2,000 and $1,300,” Patel advised. He said that this range provides a significant buying opportunity for long-term investors. Thus, he laid out a bullish roadmap for Ethereum price, targeting a price of $12,000.
ETH On-Chain Metrics Show Strength
The strength in ETH’s on-chain metrics has helped the Ethereum price reclaim $2,000 levels recently. As of press time, ETH price is trading at $2,082 with daily trading volumes surging 60.6% to over $10.89 billion. Furthermore, the Coinglass data shows that the ETH futures open interest has surged 6.66% to $21.61 billion.
Crypto analyst Ali Martinez has reported a significant surge in Ethereum (ETH) whale activity. Over the past week, large investors have accumulated approximately 470,000 ETH, reflecting strong confidence in the cryptocurrency’s long-term potential. This surge in the whale accumulation shows heightened interest in Ethereum among institutional players.
Additionally, Martinez also stated that more than 1.2 million ETH coins have left exchanges over the past 48 days. This comes amid the heightened demand for ETH staking in recent times.
ETH Downside Remains Protected
On the other hand, the downside for Ethereum remains protected amid heavy accumulation for the altcoin. On-chain data reveals that more than 3 million investors have accumulated 6.12 million Ethereum (ETH) in the price range of $1,886 to $1,944. This activity establishes this range as a critical support level for Ethereum price. Markets analyst have shared an ETH price prediction expecting ETH to flirt above $2,000 for the next month before any decisive rally ahead.
Market analysts are closely monitoring the ETH/BTC pair for signs of a rebound. Interestingly, flipping the chart reveals a potential Adam & Eve pattern forming. If this pattern is confirmed, the ETH/BTC pair could target 0.0019 Bitcoin per Ethereum, said Martinez.
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