[Will Ethereum’s momentum push it to $3,000? 】
Ethereum (ETH) price rose more than 4% in the past 24 hours, rising from a low of $2,566 to $2,695, sparking investor optimism. After a week of consolidation, the world’s second-largest cryptocurrency finally broke above the $2,500 resistance zone. Ethereum is trading at $2,644 so far, with a market capitalization of $320 billion, and daily trading volume has increased 18% to $12.22 billion, indicating renewed interest.
Ethereum is showing signs of entering a bullish trend, especially on the back of a significant drop in transaction fees. Transaction fees are currently down to 0.6 Gwei (about 3 cents), a 5-year low, in part due to the popularity of meme coins on blockchains like Solana and the Dencun upgrade that improved network efficiency. However, this also raises concerns about increased Ethereum supply, as lower fees mean less ETH is burned.
According to the daily chart, Ethereum remains above the $2,600 support, but the price is trading between $2,500 and $2,800. Despite optimism about a rebound, downside risks remain and could push the price as low as $2,300 before a sharp recovery. Traders who see the MACD indicator continuing to give out buy signals may continue to hold long positions in anticipation of a bullish reversal when the indicator enters positive territory.
Additionally, Ethereum price is currently trading above the 21-day simple moving average (SMA) on the hourly chart of the ETH/USDT trading pair. A break above the $2,800 and $3,000 levels could trigger a larger rally that could even challenge its all-time high (ATH) with a target of $4,000.
The overall cryptocurrency market, especially the top 10 cryptocurrencies, has performed well since the start of the week.
