Ethereum price remains on edge below an important support level as sentiment in the crypto market soured. ETH was trading at $3,945 today, down substantially from the all-time high of $4,963. This article conducts a technical analysis to predict whether it has more upside to go.
Ethereum Price Technical Analysis
The three-day chart shows that the Ethereum price has remained under pressure in the past few days. It has plunged from the year-to-date high of $4,963 to $3,930.
The coin has remained above the 50-day Exponential Moving Average, which is a bullish sign. It also remains above the strong pivot reverse level of the Murrey Math Lines tool.
Ethereum price remains slightly below the key support at $4,087, the highest swing in March and December last year. It has remained above the Supertrend indicator.
ETH price has also formed a bullish flag pattern, which is made up of a vertical line and a descending channel. It has now moved to the lower side of the flag section.
Therefore, the most likely scenario is where the coin bounces back in the coming days. If this happens, the next point to watch will be the ultimate resistance of the Murrey Math Lines at $5,000.
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The bullish Ethereum price will become invalid if it drops below the psychological point at $3,500. Such a move will push it to the major S&R level of the Murrey Math Lines at $2.500.
Top Catalysts for ETH Price
Ethereum price has numerous catalysts that may drive it higher in the coming weeks. One of the most notable ones is that its stablecoin ecosystem is thriving after the GENIUS Act was signed into law.
Ethereum handled stablecoins worth over $1 trillion in the last 30 days. This growth happened as the number of transactions soared by 30% to 25.9 million.
Stablecoin supply jumped to $167 billion, a substantial amount in an industry with over $300 billion. The number of stablecoin addresses on Ethereum has jumped to 3.3 million.
This growth has helped boost its revenue and fees. Its revenue rose to $16.8 million this month so far, up from 16.7 million last month.
Ethereum price will also benefit from the ongoing macro themes in the crypto industry. For example, it continues to dominate in the RWA industry, where its assets have jumped to $12 billion. This is a notable amount since the RWA industry has over $34 billion in assets.
Meanwhile, companies are continuing to accumulate Ethereum. BitMine now holds coins worth over $6.7 billion, while SharpLink holds over $3.12 billion.
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