Ethereum (ETH) Price Analysis: Can ETH Price Break Past $2000

On Nov 6, 2023

The Ethereum (ETH) price has moved above the $1850 mark and is currently trading at the $1880 mark, and could push toward the resistance at $2000.

Currently, ETH is above the $1850 price level and the 100-hourly Simple Moving Average.

ETH Ready For Bullish LMACD Crossover

While the cryptocurrency market has recovered, sentiment around Ethereum is currently at a low. The ETH price has seen higher lows throughout 2023 since hitting its June 2022 bottom. However, the ETH price is now set for a bullish crossover of the 1M LMACD, the logarithmic version of the Moving Average Convergence Divergence indicator. The tool is used to compare historical price movements with the current price action. A bullish crossover hints at a significant momentum shift. This is made even more potent due to the crossover occurring near the zero line indicator.

Similar crossovers in the past have led to a sustained bull market for ETH and other altcoins, especially those in the DeFi space. The last bullish crossover occurred in May 2020 and lasted until a bearish crossover in January 2022, which led to a long-drawn crypto winter. While the bullish crossover in the LMACD is not confirmed, a breakout of the 1M On-Balance Volume indicator could hint at an outcome. All signals currently point toward a breakout from an ascending triangle pattern that ETHUSD has been trading in for 18 months.

Ethereum Price Analysis: ETH Outperforming BTC

ETH is currently trading at $1875 and has managed to stay in a positive zone above the $1780 support zone. The cryptocurrency started a considerable price increase and cleared the resistance at $1850, even outperforming BTC. In fact, the price spiked above the $1900 level, hitting a new multi-week high of $1912.ETH is now consolidating its gains and is trading around the 23.6% retracement level of the upward move from the $1781 swing low to the $1912 high.

ETH is also trading above the 100-hourly Simple Moving Average, with a key bullish trend line forming with support near the $1870 mark on the hourly ETH/USD chart. ETH faces resistance around the $1900 level, with the first major resistance sitting at the $1920 level. If ETH can cross this resistance, we could see it push toward the resistance at $1950. Any gains beyond this point could see ETH test the resistance at $2000, with the next key resistance at $2050, after which ETH could surge to $2120.

A Correction On The Cards?

If ETH fails to surpass the resistance at $1920, we could see a downward correction, with support at $1870 or the trend line. The next critical level of support sits at $1850 near the 50% Fib retracement level of the upward move from the $1781 swing low to the $1912 high. A break below the $1850 support level could also lead to a bearish wave.

ETH Whale Initiates Binance Exodus

According to a recent ETH analysis, an ETH whale has transferred a significant amount of ETH from Binance. According to data from LookOnChain, the ETH whale has been actively moving ETH out of Binance. Data from Etherscan suggests the whale withdrew 8968 ETH on the 4th of November and an additional 8618 ETH on the 5th of November. This means the total ETH withdrawn from Binance stands at 17,316 ETH in just two days.

An analysis of ETH’s exchange supply showed a recent fall in the volume of assets held on crypto exchanges. The recent decline of ETH on exchanges suggests that more ETH was being withdrawn, sparking speculation of a sustained price uptrend and a growing desire to accumulate ETH holdings. Additionally, ETH whale transactions have also registered a surge in activity, especially transactions involving amounts that exceed $100,000 and $1 million. Data indicates a total of 179 transactions exceeding $100,000 involving ETH.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.