Top 3 Reasons Why Ethereum Price Is Up Today
Elena R21 Oct 20242 min read
After hovering around the $2,650 resistance level for much of last week, Ethereum (ETH) has finally broken out, signaling the start of a potential upward trend. Since the crypto crash on August 5, Ethereum has established a strong support range between $2,223 and $2,320, setting the stage for its next rally.
The second-largest cryptocurrency, with a fully diluted market cap of approximately $328 billion and a daily trading volume of $16.2 billion, surged by over 3% in the last 24 hours to retest a critical resistance point near $2,748.
In a notable shift, Ethereum outperformed Bitcoin (BTC) for the first time in several weeks, with Bitcoin teasing its $69k mark since July.
Are we looking at a sustained bull run here?
Why Ethereum Is Gaining Ground Over Bitcoin
It’s Altcoin Season Soon!
After a strong performance throughout 2023, Bitcoin’s growth may soon be outpaced by the altcoin market, with Ethereum leading the charge. The ongoing capital rotation within the crypto market is increasingly favoring Ethereum due to its deep liquidity and expanding use cases in the Web3 space.
Many investors are now betting on a major altcoin season, with Ethereum poised to retest its all-time high as a key catalyst.
Whale Activity and ETF Inflows
Ethereum’s market has seen steady growth in recent weeks, driven by increasing demand from whale investors. In the U.S., spot Ether ETFs, led by BlackRock’s ETHA, have recorded their third consecutive week of positive cash inflows since receiving approval from the U.S. SEC in July.
Despite a $78.89 million inflow last week, the cumulative net cash inflow for U.S. spot Ether ETFs remains at a negative $479.9 million—a significant improvement from earlier figures.
Technicals Look Positive!
From a technical perspective, Ethereum appears well-positioned for a significant rebound. Veteran trader Peter Brandt has observed that Ethereum recently broke out of a symmetrical triangular pattern that had been forming for some time, indicating a shift in market sentiment.
Brandt also noted that Ether’s price, against the US dollar, has successfully rebounded from a potential head and shoulders (H&S) pattern in the daily time frame. Most importantly, Ether’s price against Bitcoin has rebounded from a double bottom, coupled with a rising divergence on the Relative Strength Index (RSI).
The crypto market is moving fast. Don’t miss out on the next big opportunity. Stay tuned for more updates.
