Ethereum (ETH) shows strength in recent market activity
TLDR
Ethereum is up more than 10% in 24 hours, surpassing Bitcoin's 4.4% gain and trading volume reaching $47.87 billion, led by Binance, Digifinex, and Bybit, while ETH is trading around $3,647, still about 25% below its all-time high of $4.8K at $56.5 million. Some liquidation occurred, from short positions at $47.73 million The technical indicators show that the major support is the support above. 3,250 dollars
Ethereum recorded a strong upward movement in the last 24 hours, posting a 10.66% gain and reaching $3,647. The increase comes as the broader cryptocurrency market is showing renewed strength, with bitcoin gaining 4.4% over the same period.
The transaction volume of $47.87 billion recorded on major exchanges has reached impressive levels for Ethereum transaction volume. Binance, Digfinex and Bybit have emerged as the leading platforms facilitating this increased trading activity.
The price action triggered a series of liquidations in the derivatives market, with positions worth $56.5 million cleared. Short sellers were particularly affected, accounting for $47.73 million of the total liquidations.
Tether (USDT) emerged as the main trading pair for Ethereum in this rally. Following USDT, the US Dollar, FUSD, USDC, Bitcoin, Korean Won and Euro all saw significant trading volume against ETH.
Technical analysis indicates strong support levels above $3,250, with price above the $3,500 mark and the 100-hourly simple moving average. A bullish trend line has already broken through resistance at $3,375.
The market structure shows several support levels, with the first major support located around $3,585. Additional support can be found at $3,550, which will provide a basis for future price movements.
On the resistance side, the price will immediately face obstacles near $3,650, with the highest resistance being established at $3,685. The $3,720 level represents another key resistance point that traders will be watching closely.
The hourly MACD indicator shows the momentum in the bullish zone, the RSI remains above the 50 mark, which indicates the continued strength of the current trend. These technical indicators are consistent with overall positive price action.
Looking at year-to-date performance, Bitcoin has almost tripled Ethereum by 2024. However, Ethereum typically performs strongly during periods of Bitcoin slowdown, as seen in current market conditions.
The cryptocurrency's price point at $3,647 puts it 24.8% below the all-time high of $4,800 set in 2021.
The Altcoin Season Index (ASI) from Blockchaincenter.net currently scores 65 out of 100. The index is close to the 75 threshold, which usually indicates the beginning of the “altcoin season”.
Market data shows the formation of several support zones, with the 23.6% Fibonacci retracement level from $3,254 to $3,688 the most recent upward move. This technical pattern suggests sustained buying pressure.
If Ethereum holds the direction above $3,685, the next target for the bulls seems to be the $3,840 level. A break above this point could pave the way to the $3,950 resistance zone.
Conversely, if the price fails to hold above current levels, the $3,550 support could be tested. Below that, the 50% Fibonacci retracement level at $3,470 could come into play.
Pairs on major exchanges show increased activity, while spot markets show strong volume across multiple currency pairs. This broad trading activity indicates broad participation in the current price movement.
