Why did Ethereum (ETH) rise in price today?
Today, the price of Ethereum increased mainly because the $3000 mark held strong, and it looks like a 'golden cross' is about to happen, which might push it to $4000!
Over the past week, Ethereum's token Ether has been fluctuating between $3000 and $3250. Now, this second-largest cryptocurrency in the world is gearing up to break through the $4000 mark.
In the past 24 hours, Ethereum has risen by 9.65%, and on the 4-hour chart, it has once again surpassed the 50-day moving average, signaling a return of upward momentum. It is currently trying to break through the previous high of $3449.
Not only has it surpassed the 50-day moving average, but it has also formed a triple bottom, coinciding with the trading block on the daily chart, making the long-term upward trend look even more stable.
At the $3000 level, demand for Ethereum is quite strong.
Over the past week, Ethereum's price has lingered around the $3000 mark, allowing traders to build a demand zone at this price level.
Data from IntoTheBlock indicates that between $3046 and $3142, there are over 4.45 million Ethereum addresses that bought 5.4 million ETH at an average price of $3099.
The demand zone coincides with the trading block on the daily chart.
Recently, Cointelegraph also reported that new Ethereum whales have become active, with one address purchasing 18,000 ETH last week.
This whale has since bought an additional 9,000 coins, bringing their total holdings to 27,000 coins, worth over $88.9 million.
After the 'golden cross,' $4000 is in sight.
Technically, Ethereum's daily chart is just 24 hours away from a 'golden cross,' a formation that generally indicates a significant price increase is on the horizon.
A golden cross occurs when the 50-day moving average crosses above the 200-day moving average, signaling a long-term upward trend.
Historically, in 2020 and 2023, golden crosses on Ethereum's daily chart were followed by over 100% price surges. Now, the upward momentum on the daily chart has begun.
Analysts have also noted that Ethereum's price is breaking out of a short-term bullish flag pattern on the weekly chart. One analyst stated:
"If it breaks out, ETH will have to challenge the resistance level of $3700 again."
This wave of correction will refine the true value, identifying a strong coin that rises against the trend, and the next high-multiple target will be its performance! Like and comment for a reveal when it hits 88!
