Ethereum Breaks Barriers
The price of Ether has made headlines once again, pushing past the $730 mark for the first time since May 2018. It’s not just a hype train; traders are buzzing with optimism about Ether’s imminent trajectory thanks to a couple of strong catalysts in play. Buckle up, folks; it’s going to be a wild ride!
The Technical Backbone of the Rally
Traders are pointing to a solid technical market foundation for ETH’s rally. The world of technical analysis reveals the “higher high” pattern, akin to the Rocky Balboa of price formations. Each peak is surpassing the last, indicating that momentum is on the rise. Cryptocurrency trader Scott Melker even coined this phenomenon the “Stairway To Heaven.” Talk about aiming high!
Market Sentiment Shifts
Positive vibes aren’t just from traders alone. On December 28, renowned trader Michael van de Poppe predicted a bullish outlook for Ethereum, suggesting it could soar up to $1,300 if it maintains above the $470 mark. He confidently stated, “As long as $470 holds, the next run will take us to $1,200-1,300 or even a new all-time high in Q1 of 2021.” Forget climbing the corporate ladder; it feels more like climbing Mount Everest, but I digress.
Ethereum vs. Bitcoin: Who’s the Boss?
While Bitcoin has been chasing its previous all-time high, Ether has been in a bit of a holding pattern against it. To reignite the rally, ETH needs to break free from Bitcoin’s shadow. And guess what? The daily chart shows some budding gains against Bitcoin—could this be the spark that fuels Ether’s next leg up?
Declining Selling Pressure
That’s not all! Analysts from Santiment have noticed that ETH miner balances are at a two-year low, while supply on exchanges is continuing to dwindle. Ah, the sweet sound of diminishing selling pressure. They remarked, “On a typically slow trading day, Ethereum has crossed the $700 mark on a fantastic altcoin Sunday for the first time since May 19, 2018.” It appears Ethereum has put on its party shoes and is ready to dance!
The CME Futures Listing: A Catalyst for Future Growth
Looking ahead, the Chicago Mercantile Exchange (CME) is gearing up for the launch of Ethereum futures. With the CME already dominating Bitcoin futures trading, expectations are high that institutional interest will overflow into ETH. Researcher Ryan Watkins believes that 2021 could see institutions adding ETH to their portfolios; after all, once you recognize Bitcoin’s value, it’s a short leap of faith to consider other digital currencies like Ether.
What Lies in the Future?
Whatever your stance on digital assets, there’s no denying that Ethereum’s recent movements signal something significant. If institutional demand picks up, expect a notable uptick in trading volume and open interest in Ethereum futures. The wild world of crypto appears to be gearing up for another adventure in 2021!
