 ▲ Ethereum (ETH) |
It has been argued that the time has come for Ethereum (ETH) to record strength against Bitcoin (BTC).
According to YouTube, a cryptocurrency media outlet, famous trader Josh Olszewicz observed that ETH/BTC remained above the Ichimoku cloud for two consecutive days for the first time in 525 days. The Ichimoku Balance Sheet is an indicator that predicts asset prices based on five lines consisting of the baseline, conversion line, short-term leading span, lagging span, and long-term span.
ETH/BTC continued its downward trend for a while, falling to 0.044BTC as of May after recording 0.061BTC last January.
However, Ethereum's trading price rose 28% compared to Bitcoin as expectations grew that the U.S. Securities and Exchange Commission (SEC) would approve an Ethereum spot exchange-traded fund (ETF).
Blockchain news media CryptoPotato presented the ETH/USD daily chart from TradingView and explained that Ethereum has reached an important support zone after a bearish consolidation phase.
The support zone reached by Ethereum was formed between the Fibonacci 0.5 retracement line at $3,421 and the Fibonacci 0.618 retracement line at $3,289. The main support line, the 100-day moving average (MA) formed at $3,387, is also included in this section.
The media analyzed that considering that Ethereum's support range and major support levels correspond to the support range, it is expected that demand will increase, leading to a bullish turn targeting the $4,000 resistance line in the medium term.
However, he added that when Ethereum's trading price falls below the support line, the buyer's defense zone will fall to the 200-day MA.
