The largest altcoin spiked above $2,400 after the overall green wave swept through the cryptocurrency market following the Democrats’ win in the US midterm elections. Then, it was violently rejected and slumped below $2,300.
Nevertheless, analysts are now optimistic that ETH’s price could surge past $3,000 and even higher in the short term. Meanwhile, the renewed institutional interest supports the bullish outlook.
‘The Sleeper of This Cycle’X user Ted noted that ETH has finally reclaimed the 50D EMA level after pumping above $2.4K, calling the move “a major sign of strength.” Historically, sustained pumps beyond that zone have often coincided with periods of continued upward momentum.
For their part, Crypto Candy pointed out that the cryptocurrency has been printing higher lows, while recovering from every pullback and maintaining its bullish structure. The analyst is looking at “the bigger picture,” arguing that the bullish structure remains intact and expects an explosion toward new peaks. The X user also said they bought ETH when it was trading around $2,270.
Wealthmanager and Merlijn The Trader also chipped in. The former believes ETH’s pump isn’t over yet and envisions a rise above $3,000 in the coming months. The latter described the asset as “the sleeper of this cycle” and noted that its price has made a second test of a band that has held since 2018.
“Last time it got tested twice: $90 to $4,800. Same setup. Same silence. You know what comes next,” he concluded.
Earlier this week, Ali Martinez presented his outlook as well. He said ETH’s recent drop to a local bottom of around $2,200 coincided with the TD Sequential, which flashed a buy signal on the three-day chart.
“If buying pressure picks up, ETH could rebound to $2,500. Breaking that level would put the setup resistance trendline near $2,700 in focus,” the analyst predicted.
Meanwhile, spot ETH ETFs have finally posted a green day, attracting over $50 million. This marks the highest daily inflow since September, but it may be too early to call it a trend reversal, given the persistent bleeding over the past several weeks.
Spot ETH ETFs, Source: SoSoValue Correction Incoming?Ethereum’s Relative Strength Index (RSI) tells a different story. The indicator, which measures the speed and magnitude of recent price changes, is often used by traders to spot potential price reversal points.
It runs from 0 to 100, where readings above 70 suggest the asset has become overbought and could be gearing up for a pullback. Conversely, anything below 30 is usually considered a buying opportunity. Currently, the RSI stands at around 72, backing the bearish thesis.
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