Ethereum Holding Crucial Support Level, Top Analyst Predicts Potential Breakout
The focus of the crypto market is on the upcoming spot Ethereum ETFs, expected to be approved by July 4 and draw in up to $15 billion in initial investments. Ethereum experienced a sell-off following Bitcoin’s decline, but rebounded today with a 3% surge, reaching $3456.
Renowned crypto analyst Michael van de Pop highlighted a significant technical aspect of ETH, noting its ability to hold a crucial support level well. This indicates potential upward movement for Ethereum and other altcoins.
Van de Pop pointed out that Ethereum has demonstrated resilience by maintaining a critical support level amid recent market volatility. This stability is viewed positively by traders and analysts, signaling a possible continuation of ETH’s price uptrend.
He also speculated that if ETH manages to climb towards 0.06 BTC, a significant breakout could occur, potentially strengthening altcoins for the rest of the year. Van de Pop’s analysis comes at a time of fluctuating market conditions for cryptocurrencies, with Ethereum currently trading around key technical levels.
Ethereum’s price is currently below the 50-day but above the 200-day simple moving average, reflecting a battle between bearish and bullish forces. The relative strength index (RSI) suggests ongoing bearish momentum, indicating that the sell-off may not be over.
Despite a recent drop from its peak of nearly $4,000, Ethereum’s path forward remains uncertain. If ETH falls below 3300, it could decline to $3,200 and possibly $3,000.
However, the launch of spot Ethereum ETFs could positively impact market sentiment. If ETF inflows increase, Ethereum could rally to around $4,500, potentially surpassing $5,000.