Sideways Trading Range in Play
After hitting a high of $3249.50 and a low of $3055.01, the ETH/USD pair closed at $3092.48. Despite several good fundamentals, ETH/USD fell on Thursday due to recent market volatility and rising US dollar pricing. Bill Gurley, a well-known venture capitalist, has stated that he has switched his investment into Ethereum since he likes the community's adaptability and pragmatism. Gurley is a partner at Silicon Valley venture capital firm Benchmark, and he confirmed that the Ethereum investment was made on his own, not on behalf of the firm.
Gurley is a partner at Silicon Valley venture capital firm Benchmark, and he confirmed that the Ethereum investment was made on his own, not on behalf of the firm. He was optimistic about the Ethereum Network's growth potential with the upgrade to ETH 2.0 and the adoption of the proof-of-stake consensus methodology. The planned upgrade will make the network more stable and scalable, and Gurley was impressed by the number of Ethereum developers working on the blockchain. This announcement increased the value of ETH and prevented a further drop in the ETH/USD rate on Thursday.
In the meantime, Remi Tetot, a macro analyst and co-founder of Real Vision, has discussed the recent price changes in Bitcoin and Ethereum. He studied the price fluctuations of the two most popular cryptocurrencies and predicted that Ethereum would exceed the $15000 barrier in the following six months. He attributed the projected price movement for ETH/USD to network development until ETH 2.0. Although this news was positive for ETH/USD, the cryptocurrency stayed under pressure for the rest of the day.
Furthermore, Nigel Green, the CEO of deVere Group's independent financial consultant, believes that ETH would eclipse the leading cryptocurrency BTC within five years due to the network's increased usability and demand. He then contrasted the price movements of both cryptos, claiming that Ethereum has increased by 240 percent so far this year, while BTC has only increased by 38 percent in the same time frame. The bullish projections for ETH/USD favored its pricing, but the crypto stayed on the back foot given the recent sell-off in its values.
The bullish projections for ETH/USD favored its pricing, but the crypto stayed on the back foot given the recent sell-off in its values. Furthermore, Powerbridge Technologies, a blockchain application and SaaS solutions provider, has negotiated to buy 5600 BTC and ETH mining machines for an unknown sum.
On Wednesday, the China-based firm stated that it had agreed to buy the miners from Cryptodigital Holdings. Beginning in October 2021, around 2000 BTC mining devices and 3600 ETH miners would be delivered.
On the other end, the falling price of ETH/USD on Thursday could be due to the rising price of the US dollar. The US Dollar Index was trading at a high on improving market mood following the full approval of Pfizer's vaccine. Furthermore, greenback prices were high ahead of the Jackson Hole symposium, where the Fed will reveal its future monetary policy stance. Investors are waiting for Fed Chair Jerome Powell's speech, in which he is likely to hint at the reduction of asset purchases. Because both have a negative correlation, the ETH/USD fell in response to the growing price of the US dollar.
ETH/USD Intraday Technical Level
Support Resistance
3015.16 3209.65
2937.84 3326.82
2820.67 3404.14
Pivot Point: 3132.33
ETH/USD - Technical Outlook
The second leading crypto pair, ETH/USD, is trading with a neutral bias at 3,105 levels. The pair is gaining immediate support at the 3,050 level along with resistance at the 3,138 level. A bullish crossover above the 3,140 level could expose the ETH price towards the 3, 224, and 3,333 levels. The Stochastic is holding at 51, supporting a bullish trend in the ETH/USD pair.
On the downside, the breakout of the 3,050-support level exposes the pair's selling trend until the 2,943 and 2,83 support levels. The pair is forming neutral candles in between a narrow trading range of 3,140– 3,050, and the breakout of this range will determine further trends in the ETH pair today. All the best.
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