Ethereum prices initially rose before declining today, reaching $3,662 after the opening bell before retracing to a low of $3,546. Currently trading at $3,600.95, it has fallen 0.76% in the past 24 hours. Ethereum has shown strong performance since July, with gains exceeding 50% in July driven by factors such as the passage of key crypto legislation and significant inflows into Ethereum ETFs.
There is significant uncertainty about Ethereum's future trajectory, but the likelihood of an upside move is relatively high. Technical indicators show that ETH has broken through the 20/50/100/200 EMAs on the daily chart, with a significant expansion of the Bollinger Bands indicating increased volatility. Despite some pullback, the price remains near its upper band, and the RSI remains at 80.58, indicating strong bullish momentum. However, the MACD histogram is flattening, suggesting a potential short-term weakening of upward momentum. Fundamentally, continued institutional buying, the continued development of the Ethereum ecosystem, and ongoing technological upgrades are all supporting its upward trajectory. However, the rapid short-term rise has accumulated significant profit-taking, suggesting a potential correction. Furthermore, a sudden market event or tightening regulatory policies could also lead to price declines. If the key support level of $3,400 can be maintained, the upward trend is expected to continue, with resistance at $4,000 to watch.