Ethereum price lost 5.2% in the last 7 days, including a 3.6% decrease in the past 24 hours to trade at $3,380. This happened against the backdrop of the S.E.C closing its investigation into Ethereum 2.0.

Bitcoin closed the day on Sunday at $63,154 but slid further downward in the early hours of Monday morning to trade around $62,248 at press time.

Ethereum Price: ETH Gears Up For 46% Breakout 

ETH price has been trending inside a giant ascending triangle, but it is not until lately that the patterns have become clear. Zooming in, Ethereum price was stuck in a tiny range, from which it recently broke out downward.

The asset’s price action is currently trending below the 50-day but above the 200-day simple moving average (SMA). Furthermore, the 200-day SMA coincides with the rising trendline of the ascending triangle, setting up potential support for the ETH price of around $3,126.

The price of Ethereum may drop by about 9% to this support level before bouncing back up to retest the $4,000 level for the third time. If bull power is strong, Ethereum may break to the upside in a 46% move that launches it to $5,600. 

An alternative scenario is the price action remaining inside the ascending triangle and snaking its way to the very end before an eventual breakout. 

Albeit unlikely, a converse scenario may entail Ethereum breaking out downward from the ascending triangle, and finfin support around $2,357, and $1,898.

According to CoinGecko data, Ethereum’s daily trading volume skyrocketed by 98%, signaling a recent uptick in interest among investors. 

Data from DefiLlama, a blockchain on-chain analysis platform shows that Ethereum continues to dominate other layer 1 (L1s) and layer 2 (L2) blockchains in total value locked, volume, fees, revenues, and number of transactions.

Meanwhile, Bitcoin price could drop a little bit lower to test $60,000 before bouncing back to $66,000.

Ethereum Price Future Outlook

The main catalyst points for Ethereum currently hinge on the potential approval of its Sport ETF S-1s and the recent win against the SEC. However, this win is still eclipsed by the fact that the SEC has not classified Ethereum as not a security.

Institutions are now bidding on ETH

Ethereum CME futures OI is rising just
like it happened with BTC before the
ETF trading started.

Time for $5,000 ETH soon ?

GIGA BULLISH pic.twitter.com/JPZZ2GqBoF

— Ash Crypto (@Ashcryptoreal) June 23, 2024

Ash Crypto, a crypto analyst on X (formerly Twitter) posted an analysis of the future of Ethereum price, citing that institutions are now bidding on ETH. He noted that Ethereum CME futures Open Interest is rising, similar to Bitcoin right before its ETF trading began.

Bottom Line

The Ethereum community hinges on the hope of an ETF approval and recent developments in the crypto space seem to indicate this as a potential conclusion. An approval of ETF S-1 and commencement of trading may result in Ethereum price breaking all-time high prices.

The post ETH/BTC Price Prediction: Ethereum Price Targets $56,000 appeared first on CoinGape.

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Filed under: News - @ June 24, 2024 7:17 am