Ethereum (ETH) has bounced back to $1,800 amidst positive market sentiment, sparking speculation about whether the recent sell-off is indeed over. While trading has seen significant volume spikes and ETH’s price has risen over 10.6% in the last week, technical barriers still present challenges, particularly around the $1,850-$1,900 range. Currently, ETH remains below key Simple Moving Averages, raising questions about its ability to maintain forward momentum.
Ethereum (ETH), the prominent altcoin in the crypto market, has recently bounced back to a notable price point of $1,800. This recovery has come amid a wave of positive sentiment in the wider cryptocurrency market. Enthusiastic investors are now pondering whether this marks the end of the ongoing sell-off trends seen recently.
According to the latest data from CoinMarketCap, Ethereum surged from a low of $1,500 to the current $1,800, reflecting a significant upward movement. This rally signals potential bullish sentiments and may indicate that the recent sell-off might be coming to a close. In fact, over the last week, ETH’s price has jumped by more than 10.6%.
Moreover, Ethereum has seen one of its largest daily trading volume spikes in recent times, breaking through key resistance levels along the way. Such volatility usually excites traders as it may hint at a breakout or a reversal of trends. At the time of recording, ETH trades at $1,805, showing a slight decline of 0.25% over the last day, but with an increase of 6.69% in trading volume, suggesting sustained investor interest.
However, while some analysts predict a more prominent bullish rally, Ethereum still grapples with technical barriers. Historically, ETH encountered resistance when attempting to breach the $1,850 to $1,900 range, where selling pressure has consistently halted its progress.
Additionally, Ethereum’s price remains beneath crucial indicators, specifically the 20 and 50-week Simple Moving Averages (SMAs). Presently, at $1,805, ETH is significantly below these averages—$2,850 for the 50-week SMA and $2,560 for the 20-week SMA. Falling below these averages historically signifies a continuation of bearish trends, making upward movement increasingly challenging. Consequently, ETH could linger around this price or even decline, barring any significant developments.
Despite these challenges, Ethereum’s rise above $1,800 is a notable change in the overall market structure, not just a temporary bounce. Accompanied by rising trade volume, this breakout suggests that bullish momentum is decisively in play.
