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Ethereum Price Analysis - ETH Breaks $3,000 and Makes Founder A Billionaire - When $4,000?


coincodex.com 03 May 2021 10:14, UTC
Reading time: ~5 m

Key highlights:

  • Ethereum surged by a strong 10.66% today, allowing the cryptocurrency to finally break $3,000.
  • The coin has sailed past $3,100 as it looks to hit $3,200 next. 
  • Against Bitcoin itself, Ethereum has managed to break beyond resistance at ₿0.0517 as it reaches ₿0.0542.

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Ethereum price $3,168
Key ETH resistance levels $3,200, $3,313, $3,400, $3,500, $3,600
Key ETH support levels $3,155, $3,000, $2,950, $2,811, $2,657

*Price at the time of writing

Ethereum continues its surge today with another 10%+ price hike, allowing the coin to break past $3,000 and head toward $3,200. The cryptocurrency has officially gone parabolic after it broke toward the upside of an ascending price channel on Saturday as it took out resistance at $2,811.

It met resistance at $2,951over the weekend, which was eventually breached today to allowed ETH to break $3,000.

The latest price surge has now allowed Vitalik Buterin, Ethereum co-founder, to officially become a billionaire through his main ETH address, which he formally disclosed in October 2018. Being the Ethereum co-founder, it would not be surprising to learn he has more sizable Ethereum wallets floating around in addition to this.

The market cap is now above $370 billion, putting its value above significant companies like Nestle and P&G.

Additionally, news that Etheruem 2.0 is making progress after the first full PoS communication between two different ethereum clients has been completed on the devenet dubbed as Steklo. There is now officially over $11 billion worth of ETH in the ETH 2.0 staking contract as it continues to grow:

Ethereum remains ranked in the second position as it currently holds a $370 billion market cap value.

Let us continue to take a look at the markets and see where they might be heading.

Ethereum Price Analysis

What has been going on?

Etheruem is now up by a whopping 65% over the last month alone after breaking $3,000 today. The cryptocurrency had started April beneath the $2,000 level as it began to trade inside an ascending price channel. By mid-April, Ethereum had reached the upper boundary of this channel, around $2,500, and headed lower from there until support was found at the lower boundary again.

It rebounded from the lower boundary, around $2,000, last week as it started a bullish push higher. Toward the end of the week, ETH returned to the upper edge at approximately $2,800. It struggled to break this resistance until Saturday, when it broke above $2,800 and continued higher to $2,951 (1.414 Fib Extension).

It stalled at $2,951 yesterday but eventually surged past it today with the 10%+ price surge that allowed it to break $3,000 and push as high as $3,200.

Ethereum price short term prediction: Bullish

Etheruem remains strongly bullish right now and is a long way from turning bearish. To turn neutral, Etherue would have to drop beneath the support around $2,180 (.618 Fib Retracement). IT would have to continue beneath $2,000 and fall below $1,900 (200-day EMA & .786 Fib) to be in danger of turning bearish in the short term.

If the sellers push lower, the first support lies at $3,000. This is closely followed by $2,951, $2,811, and $2,657. Additional support lies at $2,573 (.382 Fib Retracement), $2,376 (.5 Fib Retracement), $2,179 (.618 Fib Retracement), and $2,000.

Where Is The Resistance Toward The Upside?

On the other side, the first resistance above $3,200 lies at $3,313 (1.618 Fib Extension). This is followed by $3,400, $3,500 (1.618 Fib Extension), and $3,600.

Beyond $3,600, resistance is expected at $3,750, $3,824 (1.618 Fib Extension - blue), $3,900, and $4,000.

What has been going on?

Etheruem is also performing very well against Bitcoin itself. The cryptocurrency had started trading at around ₿0.032 at the beginning of April, and it started to take off toward the middle of April once ₿0.036 was penetrated.

It then skyrocketed inside an ascending price channel until finding resistance at ₿0.0517 (1.414 Fib Extension level) toward the end of last week. It ended up dropping lower from there but quickly found support at ₿0.048 over the weekend, where it rebounded.

Yesterday, Ethereum penetrated beyond the ₿0.0517 resistance and continued higher today to break above ₿0.054 and reach the current ₿0.0542 level.

Ethereum price short term prediction: Bullish

Ethereum is still considered bullish in the short term. Ethereum would now need to drop beneath ₿0.046 (50-day EMA) to be in danger of turning neutral in the short term. The cryptocurrency would have to continue further beneath the support at ₿0.041 (100-day EMA) to be in danger of turning bearish again.

If the sellers do push lower, the first support is expected at ₿0.052. This is followed by support at ₿0.05 (.236 Fib Retracement), ₿0.048 (weekend support), and ₿0.0459 (.382 Fib Retracement).

Additional support is then expected at ₿0.046 (50-days EMA), ₿0.044, and ₿0.0423 (.618 Fib Retracement).

Where Is The Resistance Toward The Upside?

On the other side, the first level of resistance lies at ₿0.055 (1.618 Fib Extension). This is followed by ₿0.0563 (1.618 Fib Extension - blue), ₿0.05722(1.272 Fib Extension - red), ₿0.058, and ₿0.0588 (1.414 Fib Extension - red.

Added resistance lies at ₿0.06, ₿0.061 (1.618 Fib Extension), and ₿0.062.

Keep up to date with the latest ETH price predictions here.

Previous ETH analysis

At CoinCodex, we regularly publish price analysis articles focused on the top cryptocurrencies. Here's 3 of our most recent articles about the price of Ethereum:

  • Ethereum Price Analysis - ETH Continues To Outperform Bitcoin As Bulls Eyeball $3,000 - Will They Reach This Week? (Bullish)
  • Ethereum Price Analysis - ETH Totally Outperforms Bitcoin As Bullish Surge Pushes Coin Near All-Time High Prices (Bullish)
  • Ethereum Price Analysis - ETH Continues To Set New ATH’s Above $2,400 With Berlin Upgrade Incoming on April 15 (Bullish)

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