Ethereum (ETH) Price Rise and Stability Pulls Broader Crypto Market to $1 Trillion

The broader cryptocurrency market is now eyeing to regain the $1 trillion valuation. After a solid correction earlier in June, altcoins posed a good recovery led by Ethereum (ETH).

The ETH price is more than 13% on the weekly chart as the world’s second-largest crypto finds strong support at its 200-week moving average i.e. $1,200. As of press time, ETH is trading 1.2% down at a price of $1219 with a market cap of $148 billion.

The ETH price recovery comes amid sizeable short liquidations taking place in the world’s second-largest crypto. As per data on CoinGlass, more than $60 million in short liquidations took place last Friday.

In a note to clients, Genesis Trading’s Ainsley To, Gordon Grant and Noelle Acheson wrote:

A major options expiration on Friday had been watched as a potential source of volatility. However, “short risk cleared surprisingly efficiently” for Ether amid “perhaps unexpected stability”.

Ethereum Profit Taking

After a strong recovery last week, there have been some signs of profit-taking for the world’s second-largest cryptocurrency. On-chain data provider Santiment reported:

Ethereum is enjoying a nice weekend rise, and the #2 market cap asset’s price is now up +30% in the past week. It appears there is quite a bit of profit-taking on this mid-sized bounce, and the low whale activity indicates it isn’t coming from them.

Amid the BTC price correction since the beginning of May, the ETH short positions have been on a decline while long positions have been on the rise. Citing data from Datamish, crypto analyst Colin Wu explains:

The current Bitfinex ETH short position is 19,132.4 pieces. Since May 9, Bitfinex ETH short positions have continued to decline, with a cumulative decrease of 243,000 ETH; long positions have continued to rise, with a cumulative increase of 245,000 ETH.

Ethereum has been on a major downfall since the beginning of the year and still continues to trade more than 60% down year-to-date.

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.