Ethereum Price Analysis: ETH 2.0 On Course as Bulls Struggle Below $300
Today’s Ethereum (ETH) News
We may be in the middle of the so-called alt season and Ethereum (ETH) is no doubt one of the many benefactors. Well, its easy to see why. After a free fall of 2018 thanks to regulators across the world cracking the whip of ICOs and resulting tokens, ETH demand tapered, precipitating a sell off.
However, after dropping to as low as $70 as the height of last year’s panic selling, ETH has rebounded. Behind this stellar recovery is their direct correlation with Bitcoin’s performance, an asset that is also on an upward trend spurred by upcoming events and the rekindled interest from institutional grade investors.
Presently, all eyes are on ETH and the path taken by Ethereum core developers towards actualization of Ethereum 2.0. Christened Serenity, Ethereum will solidify its position as the go-to smart contracting platform in the face of increasing competition from faster, scalable but centralized platforms as EOS and Tron.
To that end, during last week’s biweekly update, developers announced that they would be releasing confirming codes by end of this month, June 30. That would be the basis for Phase Zero of the eventual transitioning to Serenity beginning on Jan 3, 2020. According to Justin Drake, a developer and Ethereum’s researcher, there is enough time before the genesis or launch date of Jan 3.
He went on to hint of deposit contracts saying this upgrade could be updated before the transitioning date allowing validators to make deposits. Deliberation date on the specific deposit address will be decided during the Devcon conference scheduled for Oct.
Ethereum Price Analysis
1 ETH/USD =$2,918.4462 change ~ -6.87%
At the time of writing, ETH is trading at $289 and 3.2 percent higher from last week’s close. Nonetheless, that is not to say ETH bulls have the upper hand. As a matter of fact, bulls’ position is under threat and could crumble now that they are largely in range within May 30th trade range.
Note that from an effort versus results point of view, sellers have an upper hand because of this wide-ranging and extensive bear bar. With caps at $290 and floors at $230, it is imperative for buyers to build momentum in smaller time frames.
As such, it is expected that any break and close above $290 must be with high trading volumes exceeding 410k of May 30th or ideally, 822k of May 14th. Such a maneuver will cement buyers of May and set the motion of the next wave propelling prices to $400 or higher.
Conversely, losses below $230 confirm the three-bar bear reversal pattern of May 30th and could spur panic sells that will see ETH slide to within the $170 and $190 support zone in a much-needed retest more so if the breach of $230 is at the back of high trading volumes.
Therefore, while risk-off traders can buy the dips, conservative traders can adopt a more reclusive approach, waiting for breakouts before committing with modest targets of either $400 or $170.
All of Today's Ethereum (ETH) Price Analysis, Chart Forecasts and Industry News
Chart courtesy of Trading View—Coinbase
Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.