New on-chain data revealed that Ethereum had started its bulls. The token managed to dodge the bearish pressure on Saturday, by levelling up its price to $1,654 (£1,335).
According to analysts, the token will likely get through its consolidation phase soon. Its value remains above the $1,650 (£1,331) mark, with a resistance point of $1,674 (£1,351). Meanwhile, the token’s support point is currently at $1,587 (£1,280).
As investors tried pushing Ethereum to break its resistance point, the market has seen an increase in buying activity. This bullish pressure was reflected in several other aspects of Ethereum trading, including surging volatility, rising open interest at crypto exchanges and higher trading volume.
The RSI indicator has shown that Ethereum is above the 50 level, which indicates that the upward movement may continue. Analysts said that if the buying pressure would continue in the coming days, Ethereum could inch toward $1,700 (£1,372) a token.
Furthermore, Ethereum opened the trading session on Saturday above the 50-day SMA and the 200-day SMA. This finding supports the notion that its price will continue to increase.
The strong buying trend in the Ethereum market, coupled with the steady price movement upward, shows that buyers have control over the market. Because of that, many investors predict that the token will be able to hit the expected price shortly.
Given that Ethereum is one of the biggest tokens in the crypto sphere, the price increase will stimulate other tokens to kickstart their bullish trends too.
Bearish trend risks
The bear took over the Ethereum market, starting last Monday and persisted for several days. Although Bitcoin showed consistent bullish signs, Ethereum had a difficult time breaking the resistance level due to the persisting bears.
Regardless of the new bullish momentum, Saturday’s growth momentum was slower compared with the previous day.
The bearish trend has been plaguing the crypto market over the past year. An uncertain macroeconomic situation caused investors to avoid risky assets like crypto. Moreover, some high-profile bankruptcy cases in the industry further worsened the winter.