Will ETH Price Rally Above $2,800 Despite Market Uncertainty?

Amid the short-term uncertainty being experienced in the cryptocurrency space, Ethereum (ETH) price has been attempting to regain bullish sentiment. The tier one altcoin, with a fully diluted valuation of about $292 billion, has been forming a potential bullish reversal in the daily time. 

Despite consistently closing below the 50 and 200-day Moving Averages (MA), Ether price has been forming a potential inverted head and shoulder (H&S) pattern coupled with a bullish divergence on the Relative Strength Index (RSI).

According to a market data analysis provided by IntoTheBlock, Ethereum’s price against the US Dollar has already established a solid support level of around $2,300, where 2.77 million addresses bought 52.65 million Ether units.

Ethereum Whales Takes a Breather

According to on-chain data analysis, Ethereum has experienced more significant selling pressure from institutional investors since the approval of the U.S. spot Ether ETFs. Moreover, the US spot Ether ETFs registered zero cash flow on Monday, compared to over $235 million inflows in Bitcoins. 

In addition to low demand for the US spot Ether ETFs, on-chain data shows an ETH ICO participant has sold over 45k Ether, worth over $113 million since September 22.

In the past 24 hours, more than 37k Ether were deposited in different crypto exchanges led by Coinbase Pro and Bitfinex. 

Midterm Target

The altcoin industry has gradually been following Bitcoin price action, which has significantly been influenced by the macro geopolitical climate. In comparison to the precious metal market, Ethereum’s price is largely considered to be the silver of the crypto space. 

With Silver having already reached a multi-year new all-time high, the possibility for an Ether price rebound to ATH has significantly increased. The crypto bullish sentiment is also bolstered by the shifting global economic outlook ahead of the U.S. 2024 elections.

As a result, ETH’s price will likely rebound above $2,800 in the near term as the bulls aim for $3k.