Ethereum has demonstrated impressive performance, outperforming Bitcoin by yielding a remarkable 16% in weekly gains for traders. The price of ETH reached a peak of $2,931 on Monday, marking a 52-week high and moving closer to its $3,000 target. The surge in Ethereum’s open interest, which increased by 5% on Monday, further highlights the altcoin’s bullish momentum.
Notably, Ethereum’s weekly gains nearly doubled those of Bitcoin, which recorded an 8.30% increase for holders. Coinglass data indicates that $20.06 million in short positions were liquidated for Ethereum in the past day, while Bitcoin saw $24.15 million in liquidated shorts.
The upcoming DenCun upgrade scheduled for March 2024 and the anticipation surrounding the potential approval of a Spot Ethereum ETF are cited as key catalysts for Ethereum’s recent gains.
As of Monday, Ethereum’s price stands at $2,908, and the altcoin is on an upward trajectory, nearing its $3,000 target. Support levels for Ethereum are identified at $2,720 and $2,500. The Awesome Oscillator (AO) and Moving Average Convergence/Divergence (MACD) indicators show green bars, indicating an established uptrend for Ethereum’s price.
However, analysts caution that a daily candlestick close below the $2,720 support level could challenge the bullish thesis and potentially lead to a decline to the $2,500 support level before a potential recovery. Some experts predict a rally to $4,000 ahead of the likely approval of a Spot Ethereum ETF.
