Ethereum is gradually establishing a solid position in the cryptocurrency market as its price shows many positive signals recently. After a slowdown in trading sessions, ETH has surged, testing last week's peak, with over 35 million ETH staked – accounting for nearly 30% of the total supply, significantly reducing the amount of tokens available on exchanges. Such supply scarcity usually creates momentum for strong price rallies when demand increases. This article analyzes the short-term price trend of Ethereum along with prospects in the next cycles, providing evaluations based on expertise and market data to help investors make accurate and safe investment decisions.
Short-Term Price Analysis of Ethereum
The price of Ethereum is currently maintaining stable strength and shows no signs of forming a peak. The most important support level being monitored by experts is the area of 2,415 USD. As long as the price stays above this area, the uptrend is likely to continue, and this serves as a basis for predicting the next moves of the market.
When the futures market opens in the new trading session, the price of ETH quickly rose and tested the resistance area at the peak of the fifth day. Although it has not yet surpassed this level, buying pressure is gradually increasing and creating positive momentum for the price.
In the event that Ethereum successfully breaks the current resistance level, the next targets will be around the levels of 2,570 USD and 2,620 USD. If these areas are conquered, it indicates that the buyers have clearly taken the upper hand in the market, opening up prospects for continued upward momentum in the short term.
The Impact of Staking on Ethereum's Price
The fact that over 35 million ETH is staked, equivalent to nearly 30% of the total supply, reduces the amount of ETH circulating on exchanges. This locked-up ETH cannot participate in trading or be sold in the short term, leading to a tightening of supply.
Supply scarcity is often a crucial factor that creates rapid price increases when market demand rises. This creates opportunities for investors to capitalize when prices begin to show strong signs of recovery.
Price Outlook for Ethereum in Upcoming Cycles
Market analysts believe that while it is unlikely to see a 300-fold increase like in 2017 or a 50-fold increase as in the 2021 surge, if ETH increases six times its current price, the price of Ethereum could rise to the level of 10,000 USD in the next bull cycle.
However, these forecasts depend heavily on supply-demand factors, market dynamics, on-chain signals, as well as the overall macroeconomic situation of the cryptocurrency market. Investors need to closely monitor fluctuations to make appropriate decisions.
Effective Ethereum Trading Strategies
Professional traders often focus on observing important support and resistance levels such as 2,415 USD, 2,570 USD, and 2,620 USD. Maintaining the price above the support threshold helps sustain the uptrend, while resistance levels are points to consider for taking profits or continuing to open positions.
At the same time, managing risk through placing stop-loss orders at reasonable points will help investors avoid unexpected market fluctuations. Technical analysis combined with on-chain data and staking trends is a comprehensive and in-depth approach to optimizing investment effectiveness.
Source: https://tintucbitcoin.com/bitcoin-co-the-dat-10-000-usd/
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