- Traders place bets on ETH, as the Shapella upgrade approaches.
- ETH price forms a bullish wedge pattern, hints at a breakout.
- Price currently forms a short consolidation channel.
Ethereum Network conducting the final tests of its major upgrade – Shanghai-Capella, or Shapella upgrade. The Shapella upgrade is set to bring in various features to the Ethereum network. This upgrade will reduce gas fess while significantly improving the network’s scalability. In addition, the upgrade will enhance the speed of the Ethereum network.
As per the Ethereum Foundation blog, the team amicably set a date for the upgrade to launch – April 12. The announcement followed a smooth transition and successful testing on the Goerli test network. It mentioned that the Shapella upgrade will follow the famous Merge upgrade. It will allow validators to withdraw their stake from the beacon chain and return it to the execution layer.
The Chart Story for ETH Price
ETH price forms a wedge pattern and approaches the upper trend line. The price just formed a short consolidation channel which could soon lead to an upsurge. The volume shows a highly volatile market, reflecting excitement ahead of the Shapella upgrade. The projected rally can target for $2400, prior to the launch date of the upgrade. The rising OBV suggests the market to be favorable for ETH. The current price action occurs above the EMA ribbon, giving out bullish signals.
The current consolidation nullifies the bullish momentum slightly, and hinders the possible upsurge. The CMF falls to the baseline to signify the stagnation in ETH price. The MACD converges and records descending buyer interaction in the market, this could change near the launch date of Shanghai-Capella upgrade. The RSI moves sideways in the upper half indicating consistent buyer dominance in the market. This suggests the market is reacting to the current consolidation and increasing expectations ahead of the upgrade.
The Peephole
ETH price in the smaller time frame shows prolonged consolidation. The CMF rises to higher ranges, indicating an approaching upsurge. The MACD converges to show declining buyer participation due to current consolidation. The RSI moves sideways in the upper range reflecting prevailing buyer influence. The indicators, over the smaller time-frame, show a dormant market, but may get hyper-active around the date of upgrade.
Conclusion
ETH price may witness an uptrend as the date of Shapella upgrade approaches. The upgrade is set to bring in various developments that will reduce the transaction fees and processing time on the Ethereum network. The holders can rely on the support near $1413.07 for the projected rally.
Technical levels
Support levels: $1413.07 and $1194.02
Resistance levels: $1900.59 and $2383.75
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/03/31/eth-price-prediction-ethereum-shapella-upgrade-confirms-a-rally/