In a significant turn of events, Ethereum (ETH), the world’s second-largest cryptocurrency, experienced significant growth towards the end of May. The surge was largely credited to speculation surrounding the possible approval of a spot ETH Exchange-Traded Fund (ETF) in the United States, a move that accelerated the token’s price from the $3,000 bracket all the way to $3,900.
Post-approval, Ethereum presented robust performance, its value settling firmly within the $3,700 and $3,800 parameters. Such activity has piqued the interest of various crypto analysts, many of whom predict an upcoming crucial assessment for ETH while keeping an optimistic eye towards ambitious targets above the $10,000 range.
Amidst these developments, crypto analyst Jelle has noted an apparent shift in community sentiment, leaning towards a more pessimistic outlook for Ethereum. This perceived negativity seems to stem from Ethereum’s struggle to reclaim the once attained $4,000 resistance mark, leading to an over-complicated perception of the situation by many.
In response, Jelle urges investors to maintain composure, dismissing any grounds for a bearish flip. The analyst points out significant movements Ethereum has made within a fortnight, especially following the spot ETH ETF’s approval. Notably, Ethereum successfully broke free of a multi-month falling trend, regaining strength at the $3,600 price range and briefly touching the $3,900 mark.
Since recovering this crucial support level, Ethereum has shown resilience, maintaining a steady hover between the $3,700 and $3,800 range since May 28. The crypto currency, as per Jelle’s analysis, is steadily reclaiming a critical three-year reaccumulation range.
Jelle’s charts further highlight Ethereum’s reclaiming of the lowest range of previous bull runs. If the cryptocurrency maintains its grip above this pivotal point, Ethereum, as Jelle predicts, is poised for a triumphant year. With the $4,000 resistance level being the only significant hindrance, surpassing it could ostensibly open the floodgates towards the audacious $10,000 target.
Another crypto analyst, Il Capo of Crypto, shares a similarly bullish forecast. The expert postulates Ethereum’s current performance above the $3,650 bracket indicates a prospective continuation of the upward trend towards a new all-time high.
The impending listing of the spot ETF is largely seen as a possible catalyst for an explosive growth in alt season this year. Supporting this view, Ali Martinez pointed out the withdrawal of approximately 777,000 ETH (roughly $3 billion worth) from exchanges following the approval of investment products by the US Securities and Exchange Commission (SEC). This sudden supply squeeze could potentially drive Ethereum’s price surge to remarkable heights.
However, the sudden deposit of approximately 4.5% of their holdings by two participants of Ethereum’s Initial Coin Offering (ICO) into a crypto exchange slightly unsettled investors, causing speculation of a possible price dump. Despite this uncertainty, many community members believe that the move hints at the ICO participants’ belief in a forthcoming surge in Ethereum’s price. Following these developments, the biweekly chart lists Ethereum trading steadily at $3,761.
