Ethereum Price Enters Consolidation Phase as Investors Await CPI Data

• If the price manages to go above $2132 then it will likely move towards $2953 level.
• At the time of writing, ETH is trading at $2049, down 0.45% in the last 24 hours.

Boyaa Interactive, a key participant in China’s board and card game sector that is listed on the Hong Kong Stock Exchange, has stated that it would invest up to $100 million in Bitcoin and Ethereum over the course of the next year.

This action shows that the corporation recognizes the growing importance and prospective of digital assets, particularly Bitcoin and Ethereum, in achieving its investment diversification goals.

If bullish enthusiasm for the possible approval of a spot bitcoin ETF or spot Ethereum ETF has diminished, today’s Consumer Price Index (CPI) might provide a fresh catalyst.

Given that higher rates clash with risk assets for investor money, cryptocurrencies may gain from the likelihood of a lower rate scenario. On the other hand, if inflation ends up being more than expected, cryptocurrencies might come under intense selling pressure. Thus, investors will be keenly watching over the release of this data to understand the next market direction.

Breakout Likely

At the time of writing, ETH is trading at $2049, down 0.45% in the last 24 hours as per data from CoinMarketCap. However, the trading volume is down 35.59%.

The price of ETH has been having trouble breaking $2132 level and is consolidating over $2,000, suggesting that a new upswing might begin if it surpasses $2,132. After finding support, the Ethereum price tried again to break over the $2,100 barrier. To the contrary, Ethereum was unable to sustain its recent positive momentum, and like Bitcoin, faced a brief correction.

If the price manages to go above the $2132 level then it will likely move towards $2953 resistance level. However, if the bears drive the price below $2000 level, then it will likely test $1908 support level.