- The Ethereum market is recovering after a bearish week.
- The approval of the first Ethereum ETF in the US is a major bullish catalyst.
- Ethereum is now back on track, as far as its YTD ascending trendline is concerned.
- The $1,664 zone is a key level to watch next week. If Ethereum can break past this zone and close above it, it is likely to retest $2,000 soon.
- Overall, the Ethereum market is looking bullish in the near, medium and long terms.
The crypto market turned green today, after spending the last week or so under price uncertainty and bearish reds.
We are finally beginning to see a great deal of health returning to the market with the 24-hour volumes rallying by almost 40% to $36 billion, and the crypto market cap reclaiming the $1.08 trillion mark.
Ethereum, in particular, has been interesting as of late.
After spending the last week slightly above the $1,500 zone, the cryptocurrency has now rallied well above the $1,600 zone in what appears to be a spectacular recovery.
Coinglass Data Says Ethereum’s Bears Lost Millions
According to CoinMarketCap, Ethereum has rallied by more than 2.5% over the last day and is registering weekly gains of almost 5%.
Apparently, Ethereum’s price uncertainty fooled the bears into betting against it.
Ethereum’s price recovery saw the liquidation of thousands of traders on Binance, OKX, Bybit and Bitfinex (among others) with a combined capital of about $16 million over the last 24 hours.
However, is this only the beginning? Will Ethereum continue to go up? If so, how far up can it reach?
First Of Its Kind Ethereum ETF Has Been Approved In The US – Pump Incoming?
Valkyrie Funds has just gotten a green light from the Securities and Exchange Commission (SEC) to offer exposure to Ethereum futures contracts within its current Bitcoin Strategy ETF (BTF).
This makes Valkyrie the first company to offer a single ETF that provides exposure to both Bitcoin and Ethereum futures contracts, as well as the first company to bring an Ethereum ETF into the US.
But how does this affect Ethereum?
Spoiler alert: It’s already happening. Ethereum (and maybe the entire crypto market’s recovery) may have been due to this Ethereum ETF approval.
Ethereum as a cryptocurrency, now has access to increased demand, liquidity and awareness (all of them bullish fuel).
Senior ETF Analyst for Bloomberg, Eric Balchunas even believes that we might see this Ethereum ETF go live as early as next week!
Ethereum’s recent rally may be due to investors trying to buy and HODL some before the rush happens.
Here’s a Realistic Prediction Of Ethereum’s Price Action Next Week
We already know a few things:
A massive amount of activity is coming to Ethereum very soon (maybe even next week, according to Balchunas).
But what will happen to its price?
Let’s take a few things about Ethereum’s price action and attempt to predict what the cryptocurrency holds for next week.
The first thing you should know is that Ethereum is now back on track, as far as its YTD ascending trendline is concerned.
The cryptocurrency bounced off this trendline at $1,564 and has now used today’s rally to get into a retest of $1,664.
Here are two things that might determine Ethereum’s price action next week:
- Ethereum breaks past $1,664, closes above it and continues its rally
- Ethereum does not break through $1,664
Overall, this zone is an important one to keep an eye out for.
If a break and close above $1,664 happens, Ethereum is bound to retest $2,000 soon, with minimal resistance.
However, if Ethereum fails to break through this zone, we may see a price reversal and a retest of this trendline somewhere around $1,600.
Overall, the $1,664 zone determines what happens next week, and should be watched closely.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.