After Bitcoin, Is This Popular Crypto Ready To Explode: Will 2024 End With 20% Profits?
The crypto markets have recently weathered the selling pressure in the markets and temporarily covered the markets in the clouds. With Bitcoin tipped to lose the $95,000 support after just one test, Ethereum's slow behavior has raised many concerns. Meanwhile, BTC price's recent recovery has renewed the possibility of a healthy uptrend with ETH price, and the second largest indicator continues to follow the star crypto very well.
The price of ETH is expecting a higher upward trend since the quarter, and therefore, despite the intervention of the bear, it is believed that it will cut the necessary resistance levels. The main reason for the bullish momentum to continue this coming week is the significant increase in on-chain metrics like daily active addresses.
According to Intotheblock data shared by famous analyst Ali, active addresses are up 4.24%, while new addresses are up 2.65%. Meanwhile, zero-balance addresses fell more than 4%, suggesting market participants are optimistic about the upcoming trend. With this, the price of ETH rose above the critical resistance levels between 3700 and 3810 dollars, in which more than 3 million wallets bought more than 4.6 million ETH.
Therefore, the traders are now confident of a jump over the weekend, which could help the price break $5000 as demand and supply dynamics strengthen. The end of the slow behavior of the price of ETH can be determined by the growing strength of Ethereum against Bitcoin. The ETH/BTC pair is stuck in a downward-sloping parallel channel, and regardless of the rebound, the levels do not show the possibility of a higher rise.
As shown in the chart above, the weekly ETH/BTC pair has failed to break above the channel's average bands due to increasing bullish activity. Additionally, the bearish pattern from Q4 2022 remains intact, suggesting that the second largest token is no longer able to trade independently. Therefore, the price of BTC needs to rise above the current ATH, which can help the price of ETH not only surpass $4000, but also find the necessary resistance at $4200. This move could slightly increase the strength of Ethereum compared to Bitcoin, forcing ETH/BTC to cross the band average levels and finally close to the resistance.
In the year In 2021, ETH/BTC broke above the consolidation, allowing the price to mark a new ATH. Therefore, the ongoing consolidation breakdown may have an equal impact on the Ethereum (ETH) price rally, which may rise and reach 5-digit levels in the upcoming bull run.
