Ethereum Price poised to break the resistance levels at $1350 to continue the rally to form a new ATH by the end of the day
At the highest levels, the possibilities of the traders extracting their profits may be high and hence declining the price
The rally is expected to continue further to attain the levels above $5000 anytime in 2021.
Ethereum Price Inches closer to ATH as Bitcoin Price consolidates
Ethereum price experienced a roller coaster ride of a series of pumps and dumps in recent times. After a couple of rejections at the levels close to $1350, the ETH price appears to be determined to hit the ATH at $1432 anytime from now.
Many analysts predict a larger bull rally in 2021 and the price may also hit levels above $1500 initially. According to an analyst Galaxy, ETH price has consolidated for more than 1300 days and may hit $5000 to $7000 in 2021.
Once the price registers the levels above $1400, the rally would be more intensified and would break all the resistance levels to fly high. As per the analyst RookieXBT, the Ethereum Price rally will be much similar to that of Bitcoin.
Ethereum Bull Run Much Higher Than Bitcoin
The native token of the Ethereum platform, ETHER has outperformed Bitcoin’s Bull rally in the past few days. Since the beginning of the year, the ETH has gained huge momentum due to which Bitcoin maintained a side trend.
What Might Have Fueled the ETH Price Rally?
Since the start of 2021, Ethereum price has gained more than 90 percent compared to just 33 percent of that of Bitcoin. Therefore, the reason which intensified the rally might be the growing positive sentiment around DeFi and Bitcoin’s showcasing less volatility.
The Defi tokens like LINK, YFI, CRV, SUSHI, and many more surged bringing the total-value locked(TVL) in DeFi hit an all-time high of $24.56 billion according to DeFi Pulse. On the contrary, gas fees are also at the highest level.
Also, the daily transactions on Ethereum are going parabolic and have attained $12 billion transactions per day. These levels match the levels during the Ethereum bull run of 2018. Hence it’s a very crucial phase for Ethereum as high TVL signals a huge demand in the space also the gas fees remain a concern for many.
How High the ETH Bull Run Will Be?
The ETH price had a pretty good jump in the last 24 hours of about 10.3% to touch the levels at $1328.4 at the press time.
In the past week, when the price hit the rock bottom levels below $1000, the bull geared up and the aggressive buying at the dips, recovered the losses to some extent. However, the bulls have not yet stopped and try to push the price above $1350 resistance levels.
Once the strong resistance levels are broken, the next target would be to smash the current ATH to form the new one. The current RSI levels in the overbought region and the remain bullish point out that still, the bulls are in a good position.
Conversely, if the bear’s start-up with their job, the price may also face a decline. As the traders who bought during the bounce of the 20-EMA, may extract the profits. Currently, the price is well above the 20-EMA and hence the ETH bull run may extend further.
Therefore, the Ethereum price rally is expected to hit more highs in the coming days, but currently, breaking the resistance levels at $1350 is very crucial. The bulls are attempting very hard to keep control with themselves, but the bears might overpower them beyond certain levels.