Ethereum (ETH) Breaks the $3,800 Price Level
Ethereum (ETH), the world's second-largest cryptocurrency, has surged past the $3,800 mark, recording a notable 6.4% increase in the last 24 hours. The digital asset is currently trading at $3,831, with a market capitalization reaching $461.61 billion.
The breakthrough comes amid a strong rally that has seen ETH climb from $2,400 in recent weeks, sparking optimism among market participants. Trading volumes have shown steady growth compared to earlier bearish months this year, indicating renewed investor confidence.
Technical indicators paint a bullish picture, with the formation of a "golden cross" - where the 50-day exponential moving average (EMA) crosses above the 200-day EMA. The cryptocurrency maintains its position above the 21-day EMA, which serves as dynamic support during the current upward movement.
Market analysts, including pseudonymous trader VentureFounder, suggest the possibility of an even larger rally. A "cup and handle" pattern formation could potentially push ETH toward $7,346, representing a 97% increase from current levels.
However, some caution remains as the Relative Strength Index (RSI) approaches overbought territory at 65, which may trigger short-term pullbacks. The behavior of long-term holders, tracked by the Liveliness indicator, also presents uncertainty in the market.
The cryptocurrency's rise aligns with broader market momentum, as other alternative cryptocurrencies also show strong performance. Binance Coin (BNB) reached a new all-time high at $775, while Tron (TRX) recorded a remarkable 50% gain in 24 hours.
ETH's next major target appears to be the $4,000 level, though maintaining support above $3,800 remains key for continued upward momentum. The cryptocurrency's current circulating supply stands at 120.44 million coins, with market dominance at 12.89%.