Bulls and bears collide as the Ethereum price breaches crucial support at $1,800. 

Amidst market turmoil, Ethereum’s path awaits clarity from institutional ETF developments.

Ethereum, the second-largest cryptocurrency, is imprisoned in the prevalent battle between bullish and bearish forces. This largest altcoin breached the $1,800 level, marking its new low since late June.

While the question arises of who will win — bears or bulls— a sense of bullish hope emerges in the market scape of ETH. Volatility Shares, renowned for its crypto exchange-traded fund (ETF) ventures, schedules the impending launch of an Ethereum futures ETF on October 12. Notably, Volatility Shares gained recognition for launching the first 2x bitcoin-linked ETF (BITX) in July.

However, Volatility Shares is not alone in this race to launch an Ethereum-focused ETF. Several other prominent financial players, including Bitwise, VanEck, Roubhill, ProShares, and Grayscale, have all submitted applications to the SEC. This surge of interest from institutional players has the potential to reshape Ethereum’s trajectory, possibly leading to increased demand.

Amidst this promising institutional interest, a contrasting trend emerges. Crypto analytics tracker GlassNode’s data highlights a decline in whale interest in Ethereum, with the number of addresses holding over 10,000 ETH plummeting to a two-year low of 1,095. This speculative pattern suggests that while institutional players are stepping in, larger individual holders might be reducing their stakes.

Will the Ethereum Bulls Take Over?

Analyzing Ethereum’s recent price movements, the daily chart reveals that the price has been consolidating, with bears seemingly holding the upper hand. The daily Relative Strength Index (RSI) hovers around the brink of oversold territory with a value of 35. As per data from CoinMarketCap, at the time of analysis, Ethereum’s price was at $1,802, reflecting a decline of 1.24%. 

The short-term 9-day exponential moving average (EMA) is currently positioned at $1828, pointing to bearishness. Moreover, in the last 24 hours, ETH exhibited a surge of over 13% in trading volume.

If the current pattern continues, the potential for a trend breakthrough remains uncertain. Conversely, in a bullish scenario, the ETH/USDT pair might surge to $1,917, and possibly even reach $2,018. On the other hand, a downward trend could potentially drag the price even further, with experts cautioning against potential declines to $1,600 or even $1,458. Hence, the battle between bears and bulls remains an ever-evolving narrative.

Will ETH reach $2000? Share your thoughts by tweeting us at @The_NewsCrypto

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Filed under: Bitcoin - @ August 17, 2023 9:27 am