Crypto analyst Michaël van de Poppe has provided crucial insights into key price levels in the Ethereum (ETH) market following a substantial option expiry event, occurring amidst notable whale activity on the Ethereum network.
On Friday, roughly $1.02 billion in Ethereum options contracts were settled, with the maximum pain point established at $2,600. Despite concerns over price declines due to heightened market volatility, ETH showed resilience, rising by more than 3% to trade at $2,547.
Van de Poppe notes that Ethereum is at a critical juncture as the market braces for “macroeconomic weeks” ahead. In his analysis, the direction of ETH’s future price movement hinges on whether it will gain upward momentum or retest the $2,000 level. He postulated that testing the $2,750 resistance again could signal a breakout, potentially pushing ETH’s value as high as $3,350, a level of historical resistance it has faced three times since August.
The US elections, set to take place in two weeks, are also expected to have a profound impact on the crypto market. Additionally, there is anticipation of a Federal Reserve rate cut in November, which could provide liquidity for investments in volatile assets like Ethereum.
The alternative scenario presented by van de Poppe suggests a possible price drop for Ethereum, in line with its current consolidation pattern. Here, ETH could initially retest the $2,300 level, and under significant bearish pressure, could fall to $2,000.
In related news, analytics firm Santiment has reported a peak in whale activity on the Ethereum network over the last six weeks, despite the recent price decline. Traditionally, such high activity indicates accumulation by large holders, signaling confidence in the asset’s long-term profitability.
As of the latest trading data, ETH is priced at $2,445, reflecting a 1.67% decline over the past day. However, its daily trading volume has surged by 57.97% to $23.14 billion. The recent dip in ETH’s price can be attributed to a controversial report on USDT stablecoin operator Tether, as well as reported Israeli attacks on Iran.
Ethereum continues to be a favorite among investors, with many analysts forecasting a potential price target of $10,000, based on historical performances during previous bull cycles.