The price of Ethereum has risen by 9.54 percent at $2,900 and is edging to break the $3,000 mark. In actuality, the value of the crypto has rallied over 53 percent after its May 19 and 23 bottom plunge at $1,850 and $1,730 respectively.
The entire cryptocurrency market is seeing signs of recovery after the market plummeted. All top 19 digital currencies have begun to slightly touch the greens again. Some of them gained as much as 15 percent. Bitcoin, Ethereum, Binance Coin and Ripple have also recovered favourable returns.
BTC went down 32 percent since the market delved but has resiliently held up as it touched $40,000 for a brief while. BNB has gained eight percent up, XRP 4.5 percent up, and ICP almost seven percent up.
Cryptocurrencies have continued to gain despite threats and policies against the innovation from institutions and governments. Inner Mongolia recently began a rally to prevent the mining of cryptocurrencies. Beijing also swore to place a crackdown on the mining and trading of BTC.
The Federal Reserve Vice Chairman of Supervision Randel Quarles has said that the US finance agencies are working on developing a regulatory framework for cryptocurrencies in the country.
Bearish Indicators Point to ETH Price Correction
Ethereum analysts believe that while a $3,000 hit might be imminent, Momentum Reversal Indicators (MRIs) are closely looked at. The current upward trend would likely face a price correction and could flutter down to one to four candlesticks on the chart.
The basis of the analysis is that several current ETH investors are not yet bullish on the crypto and will be inclined to sell at certain points. The predicted price correction might shed 25 percent of ETH’s current value or retest the May 19 low at $1,850.
Another reason the analysis might hold water is the 11 percent decrease in Ethereum Whales. The Whales holding from one million to 10 Million ETH, have been offloading massively even before the coin hit $4000.