Ethereum

Why is the price of Ethereum increasing? ETH surges to $3,900 as ETF hype intensifies

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The price of Ethereum jumped last week after the announcement of an Ethereum ETF. The asset, however, found some resistance around the $3,500 level and has since consolidated around this area.

ETH Price today it stands at $3,914, representing a 3.4% increase in the last 24 hours and a 32.6% increase in the last 7 days. The asset continues to show signs of bullish trends as the Ethereum ETF News the hype builds.

Ethereum Price Analysis: ETH Set 6% Profit Target Amid Falling Wedge Breakout

Ethereum Price Chart | Trading View

Based on the principles of technical analysis, in ascending breakouts, the highest high of the pattern (A) serves as the price target. Although Eth price has broken out of the downtrend, it has not yet reached point (A). This suggests that Ethereum could still have 4-6% more gains to make before reaching this goal.

Eth 1 hour price chart | Trading View

Additionally, ETH price action continues to trend steadily above the 50-day and 200-day simple moving averages (SMA) on the four-hour chart. These indicators offer support levels at $3,614 and $3,317, respectively, in case ETH price experiences a retracement.

The 1-hour Ethereum price chart shows the formation of another smaller ascending triangle with bullish price target implications. If Ethereum breaks out of this ascending triangle pattern, the price could increase by 12% to $4,439.

However, the bullish momentum could take it much higher than that. Moving higher, Ethereum could contend with key resistance points around $4,100 and $4,496.

Future outlook for Ethereum price

THE Ethereum Price the outlook is optimistic. The slight increase in prices observed last week was nothing compared to what was expected. Compared to the rally Bitcoin saw following its ETF approval, Ethereum may still have a way to go upwards.

ETH’s Relative Strength Index (RSI) sits at 68 after retracing the overbought zone hit last week. Despite the retracement, the RSI is in an uptrend, indicating that the bullish momentum is gaining momentum.

Ethereum Chart | Trading View

Ethereum’s dominance also received a major boost following the recent price surge. After rising 21%, ETH now dominates the entire crypto market at over 18%.

Conclusion

As markets digest the Ethereum ETF news and consider its implications, the price of ETH is preparing for further upside. May brought consolidation for most crypto coins, but not Ethereum. For ETH price, this could be the start of its uptrend for this super cycle.

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