Ethereum Price Reclaims $2K- New Rally Ahead or a Temporary Bounce?

Ethereum price reclaimed the $2,000 level after jumping 10% in the last 24 hours, signaling a sharp market rebound. The surge followed an earlier downturn that briefly pressured major digital assets across the sector. 

Bitcoin price was approaching a major breakage level, and Solana and Ripple had stepped up out of key support levels. The overall crypto market surged by 5% to a valuation of $2.35 trillion as the sentiment improved. 

Analysts are currently evaluating whether the robust recovery of Ethereum is the start of a new rally or a temporary upward correction.

Ethereum Price Extends Gains as ETF Inflows Boost Confidence

The rebound followed steady inflows into spot exchange-traded funds, which signaled improving confidence among institutional investors. 

According to the market data provided by SoSoValue, Bitcoin spot ETFs registered a total net inflow of $258 million on February 24. The FBTC of Fidelity contributed above $82 million to the group. 

Ether funds ETFs attracted in excess of 9 million in new investments, whereas this was outdone by Grayscale ETH product, which recorded an inflow of more than 11 million.

The Ethereum price has returned to the higher position of over $ 2,000 with the overall crypto market recovering on renewed purchase interest. Bitcoin also surged, selling over $68,000 following a short period at the 67, 000 mark. Sentiment was further backed with the Ethereum Foundation announcing that it would stake 70,000 ETH out of its treasury. 

The foundation started the process with an initial deposit, and it represented a transition to more active management of the reserves.

Will Ethereum Price Rally To $2500 Amid Recovery

The ETH price surged to $2,068 as the crypto market sees a recovery. The MACD line crossed above the signal line and expanded to the upside. The histogram displayed successive green bars, and this was an affirmation to accelerating bullish momentum.

This movement hinted at a better mood, following a prolonged sideways trading.  The Chaikin Money Flow became positive and rose to the higher range. The indicator also indicated increased capital inflows back to the market.

Based on these signals, ETH now faces resistance at $2,200, $2,300, and $2,500. Upside Ethereum long-range prediction remains possible if momentum holds and buyers maintain control.

The support is at $1,950 on the downside, and it is currently the breakout floor. Any loss of this level will push the Ethereum price up to around $1,900, which has been consolidated this week.

Ethereum Price Reclaims $2K- New Rally Ahead or a Temporary Bounce?Ethereum Price Reclaims $2K- New Rally Ahead or a Temporary Bounce?
Source: ETH/USDT 4-hour chart: Tradingview

The reinforcing level is at $1,800, where the recent recovery movement began. Falling below this would indicate a declining mood and a potential change of direction.

Source: https://coingape.com/markets/ethereum-price-reclaims-2k-new-rally-ahead-or-a-temporary-bounce/