Ethereum price over the weekend has decoupled from BTC and continued to be on a rising trend. Even as it faced minor retracements it still traded in the green for the entire weekend.
At the beginning of the weekend, buyers pumped ETH above the $2,500 resistance and lift the ETH/USD pair out of short-term consolidation. A rally to the next resistance at $2,700 was initiated but was rejected due to a lack of buyers.
After retreating back to $2500, ETH has again started an uptrend. It has even broken above the crucial 100 Day MA level at $2600. At the time of writing, the token is trading at $2633 up by 3% in the last 24 hours.
The resistance levels are at $2725, $2890. In case of an extended rally this week ETH may even hit resistance at $3000. On the downside, the support levels are at $2545 and $2400.
The ascending price channel is more clearly visible on the 4-hour chart. It’s a steep pricing channel, and a breakout to the upside would send ETH skyrocketing ahead of the hard fork upgrade in London.
What Metrics have to say?
The balance of Ethereum on exchanges has been dropping as the London hard fork approaches. It has recently hit a string of lows. The balance of ETH on exchange wallets was over 21 million at the beginning of June. However, in just two months, the figure has dropped by nearly 1.5 million.
Also, Since June, the outflows have been mostly outnumbering the inflows, according to the exchange net flow index. These two signs, taken together, indicate that market players expect the price of ETH to rise in response to the upgrade.
Not to forget, The number of staked ETH has increased dramatically in recent weeks, as has the amount of ETH held in DeFi. This means that ETH being taken from exchanges aren’t dormant, and market participants are making a move ahead of the hard fork.