Ethereum is showing signs of strength this week after the four-hour 50 EMA crossed the 200 EMA to the upside for the first time since July.
The previous cross, which is often dubbed as a golden cross, happened when Ethereum was trading $228, just weeks before an eventual 106% rally to the upside.
At the time of writing Ethereum is trading at $385.45 as it sets its sights on the $407 level of resistance, which was a point of rejection on August 6.
The world’s second largest cryptocurrency by market cap is gearing up towards the highly-anticipated Ethereum 2.0 upgrade, which will see it adopt a proof-of-stake protocol.
This, coupled with the rise in popularity of DeFi, has the potential to drive Ethereum to new yearly highs above $487, although much of it will depend on if Bitcoin can continue to make progress towards its respective yearly high of $12,400.
As stated in Monday’s technical analysis on Coin Rivet, Bitcoin is currently in a period of positive momentum following institutional investment from the likes of Square and MicroStrategy.
However, if both assets face a rejection in this region it would mark a lower high from September 1, which could well be the first signs of a bearish reversal.
For more news, guides and cryptocurrency analysis, click here.
About Ethereum
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.
More Ethereum news and information
If you want to find out more information about Ethereum or cryptocurrencies in general, then use the search box at the top of this page. Please check the below article:
As with any investment, it pays to do some homework before you part with your money. The prices of cryptocurrencies are volatile and go up and down quickly. This page is not recommending a particular currency or whether you should invest or not.
You may be interested in our range of cryptocurrency guides along with the latest cryptocurrency news.
Disclaimer: This is not financial advice.
Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.