Fun

Ethereum’s quick rebound positions ETH price for 100% rally

News Feed - 2024-08-06 05:08:00

Yashu Gola24 minutes agoEthereum’s quick rebound positions ETH price for 100% rallyEther price is mirroring a fractal pattern from October 2023 that preceded a 178% ETH price rally.254 Total views1 Total sharesListen to article 0:00Market AnalysisOwn this piece of crypto historyCollect this article as NFTCOINTELEGRAPH IN YOUR SOCIAL FEEDFollow ourSubscribe onEthereum’s native token, Ether (ETH), is undergoing a sharp bounce after dropping to its eight-month low on Aug. 5. Interestingly, this rebound shows similarities with the one in October 2023 that preceded a 168% price boom.Has ETH price already bottomed?


As of Aug. 6, the ETH/USD pair showed signs of bullish reversal after rebounding from a support confluence comprising the lower trendline of its prevailing ascending channel pattern and the 200-week exponential moving average (200-week EMA; the blue wave).


Simultaneously, the bounce accompanies a rise in Ether’s weekly relative strength index (RSI) reading from 39.40, just over nine points above the oversold threshold. ETH/USD weekly price chart. Source: TradingView


Ether technical indicators looked the same in October 2023, which—combined with supportive fundamentals such as the pre-halving rally and the launch of Bitcoin ETFs—helped the price rally toward the ascending channel"s upper trendline. 


If the fractal plays out as intended, Ether has already bottomed out at its Aug. 5 low of around $2,128 and is now rallying toward the ascending channel’s upper trendline at around $4,560. When measured from the current price levels, this amounts to an over 100% rally by 2024. Rate cuts may further boost Ethereum’s upside


From a fundamental perspective, the anticipated US Federal Reserve rate cuts could increase demand for Ether as traders seek higher returns from riskier assets and move away from lower-yielding options like government bonds.


Bond traders believe the US economy is deteriorating so rapidly that the Fed may be forced to cut interest rates aggressively before their next meeting to prevent a recession. Concerns about high inflation have faded, replaced by fears of economic slowdown.


Traders now estimate a 60% chance of an emergency 0.25% rate cut within a week, according to Bloomberg. Moreover, CME data shows increasing probabilities of three rate cuts by 2024. Target rate probabilities for September. Source: CME


The scenario is similar to March 2020, when the market sharply rebounded after the Fed’s intervention in response to the COVID-19 market crash.Source: X


"The final capitulation indeed as it hit that lowest point as similarly did in 2020 which signaled a bottom," noted market analyst Milkybull Crypto about the broader altcoin market, adding:"I don"t think this time is different."


This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Federal Reserve# Ethereum# Analysis# Markets# Interest Rate# Tech Analysis# Market Analysis# Ether Price# Ethereum PriceAdd reaction

News Feed

Ana Paula Pereira8 hours agoAptos’ new user growth hits 900% after integration with social media app ChingariChingari started the migration to Aptos in July, seeking an enhanced experience for users following Solana’
Interest Rate Cut Impact: Bitcoin Price Reaction Unraveled With Future Projections
Este artículo también está disponible en español. The Bitcoin price experienced a significant downturn on Wednesday, briefly falling below the $100,000 milestone as the U
Bitcoin, Ethereum Technical Analysis: BTC Falls From Recent High, Ahead of US Non-Farm Payrolls
Bitcoin, Ethereum Technical Analysis: BTC Falls From Recent High, Ahead of US Non-Farm Payrolls Bitcoin retreated from a six month high on Feb. 3, as bears reentered the market ahe
Ripple Files Motion for Court to Toss XRP Securities Lawsuit
Ripple, the cryptocurrency firm behind the XRP token, has requested a federal court dismissal of a class-action lawsuit; all while ignoring one major issue, XRP"s security status. T
New York regulator hunts crypto and AI specialist for policy unit
Arijit Sarkar13 hours agoNew York regulator hunts crypto and AI specialist for policy unitThe NYDFS is recruiting a policy specialist to address key crypto, DeFi and AI issues within financial services.1330 Total views2
Brazil and China Deepen Trade Integration to Move Away From US Dollar, as First Yuan-Based Settlement Is Processed
Brazil and China Deepen Trade Integration to Move Away From US Dollar, as First Yuan-Based Settlement Is Processed Brazil and China have reached a milestone in their economic integ
‘World War III Has Begun,’ Says Gerald Celente; Plus, Long-Term BTC Predictions and Scorching US Inflation — Bitcoin.com News Week in Review
"World War III Has Begun," Says Gerald Celente; Plus, Long-Term BTC Predictions and Scorching US Inflation — Bitcoin.com News Week in Review Trend forecaster Gerald Celente told
Felix Ng2 hours agoGrayscale CEO: BlackRock ETF filing a ‘moment of validation’ for BitcoinBlackRock’s commitment to advancing its crypto efforts only lends to the validity of Bitcoin as an asset class, said Michae
Standing Together Against Disasters: CoinEx Charity Passes on the Spirit of Charity
Standing Together Against Disasters: CoinEx Charity Passes on the Spirit of Charity press release PRESS RELEASE. Every year, natural disasters like earthquakes, hurricanes, and floo
Bitcoin Rich: 6 Crypto Entrepreneurs Make the 2020 Hurun Billionaire List
Bitcoin Rich: 6 Crypto Entrepreneurs Make the 2020 Hurun Billionaire List On Wednesday, the “Hurun Global Rich List,” a ranking of the wealthiest individuals, publish
Report: Morocco Central Bank Governor Says Crypto Draft Law Now ‘Ready’
Report: Morocco Central Bank Governor Says Crypto Draft Law Now "Ready" A Moroccan draft crypto law, which seeks to protect individuals from the risks associated with crypto tradin
RBI: Cryptocurrency Is a Big Threat to Macroeconomic and Financial Stability in India
RBI: Cryptocurrency Is a Big Threat to Macroeconomic and Financial Stability in India The governor of India’s central bank, the Reserve Bank of India (RBI), has reiterated h