- The market was relieved when Ethereum hit $3,000 again.
- Analysts on Twitter agreed that ETH was a buy.
September was a tough month for Ethereum. Early in the month, the price soared to a multi-month high of $4,032 before plummeting 34% to $2,655.
In September, Ethereum’s market value dropped to around $348 billion. It was not alone, bitcoin and other cryptos plummeted in September. The BTC price fell from above $52,000 to about $40,000. Since the Chinese cryptocurrency crackdown, the market has retraced about 20%. The market was relieved when Ethereum hit $3,000 again.
Ethereum is up by around 10% in the last 24 hours, breaking the $3000 mark for the second time. The currency has finally broken out of the previous trading range it had been in for two weeks. On Wednesday, Ethereum rebounded off the lower boundary, finding support around the 100-day moving average.
It has now broken above the 20-day MA and the September declining trend line. The first line of defense is $3300, which is the 50 MA. At $4000, resistance increases. Initial support is set at $3000. Also, at $2890, $2770, and $2620 as per 200 MA.
The Emergence of Short-Term Traders
Analysts on Twitter agreed that ETH was a buy. According to Rekt Capital, Ethereum’s retest success means a green October. The most significant cause for Ethereum’s price fluctuation is the emergence of short-term traders.
According to statistics from crypto analytics companies, trades made in the last month have increased by 43 percent and may soon surpass the all-time record achieved by “young wallets” in May.
It now has approximately 20 million wallet addresses with around 3 million fresh ones. The average duration kept in these wallets is ten days, suggesting that most individuals purchased Ethereum on September 20, when the price dropped 13% and went below $3,000 for the first time. It relates to buying power. According to CoinMarketCap, Ethereum price today is $3,420.47 USD with a 24-hour trading volume of $16,876,722,475 USD.
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