Ethereum has exploded over the past few days with a long-awaited 15.79% move to the upside as volatility slowly returns to the cryptocurrency market.
The world’s second largest cryptocurrency by market cap is currently trading at $273.64, which is the highest its been in more than five months.
It has now recovered by 155.92% from March’s capitulation low of $109.28, although it is now being faced with a bitter point of resistance.
February’s high of $285.57 eventually became the point of rejection following two attempts at a breakout. It was also a level of resistance in May 2019 before the subsequent blow-off top at $365 in June.
If Ethereum can break above this level in the coming weeks it could be the catalyst for a highly-anticipated ‘altcoin-season’, which has been rare since the 2018 bear market.
An altcoin-season would see Bitcoin dominance fall against the rest of the ecosystem as traders and investors opt for more speculative bets like Ethereum, XRP and even Tezos.
Upside price targets would begin to emerge at $300 and $366, although optimistic forecasts predict a rally that could be extended to as high as $501.42.
While Ethereum is almost certainly bullish in the short term, from a macro perspective it desperately needs to form a lower high after being hit with four consecutive lower lows since its all-time high in early 2018.
Another rejection and lower low from here would indicate a further correction to the downside, which would see price initially fall to as low as $214.67.
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Ethereum was launched by Vitalik Buterin on July 30 2015. He was a researcher and programmer working on Bitcoin Magazine and he initially wrote a whitepaper in 2013 describing Ethereum.
Buterin had proposed that Bitcoin needed a scripting language. He decided to develop a new platform with a more general scripting language when he couldn’t get buy-in to his proposal.
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