At public crypto market Market capitalization in 24 hours, up by 2.89%. Ethereum (ETH), the second largest crypto project, is also trading in the green at the same time.
Despite being very early in 2023, ETH has recorded significant price gains in the crypto market. Ethereum still does not have a high value, but the price shows resistance to the current increase.
What Makes Ethereum Rally?
Recorded new results can be attributed to projects are noted hosted on the Ethereum network. At Ethereum blockchain remains the most popular blockchain for NFTs. Blockchain also pioneered smart contracts, which are now a widely adopted technology in crypto. These smart contracts allow crypto users to interact seamlessly and securely on the blockchain.
Ethereum Name Service (ENS) is one of the innovations in the Ethereum network. ENS is a distributed naming system that helps simplify cryptocurrency addresses by giving them readable names to eliminate confusion.
Also, ETH is the second largest cryptocurrency project by market cap and the first altcoin. The innovative proof-of-stake system is more energy efficient and attracts increased participation from the crypto community. The network is known as a hub developer with many Web3 and Metaverse project.
What’s Next For Ethereum When It Crosses $1,600?
ETH return from yesterday’s general market pullback, trading at $1,605, an increase of 3.81%. The candlesticks on the chart show that ETH has risen over the past few days. However, it is currently in a downward trend and is ready to continue its upward trend on the price chart. The price of ETH is closely related to the price of bitcoin, like most cryptocurrencies, it rises when BTC is bullish.
ETH is currently trading above the 50 day and 200 day Simple Moving Average (SMA). This is a bullish signal for the asset, so it is possible that there will be an increase in the price of ETH in the coming days.
Support levels are $1,452.32, $1,495.32, and $1,560.14, and resistance levels are $1,667.95, $1,710.67, and $1,775.77. Ethereum has quite a bit of momentum in the market today and will break through the nearest resistance level of $1,667.95.
Related reading: CryptoQuant Bitcoin PnL Index Forms Bullish Crossover
The Relative Strength Index (RSI) is currently at 67.12, close to the overbought area of 70. However, it shows signs of a possible retracement, which indicates that a reversal in the coming days is still possible. Moving Average Convergence/Divergence (MACD) is higher than the signal line but shows convergence. It also represents a possible downward trend in the short term.
Option images from Pixabay and charts from TradingView.com