As investors across the globe focus on Bitcoin and whether it can break out above $14,000, Ethereum has emerged as a dark horse having bounced from the $390 level of support.
The world’s second largest cryptocurrency is currently trading at $396 as it attempts to secure a bullish break above the $406 level of resistance.
Ethereum is expected to sell-off against its Bitcoin trading pair in the event of a BTC rally, however it remains in a bullish posture on a macro scale following a six-month period that has seen it surge by 296.21%.
The market-wide rally began following institutional investment into cryptocurrencies from the likes of MicroStrategy and Square, which preceded PayPal’s announcement that it would start to facilitate crypto purchases and sells.
There may be some short-term sell pressure in the coming days for Ethereum as traders liquidate profits during a period of consolidation, but it will continue to be bullish as long as it trades above $366.
Upside price targets remain at $443.45 and $486.05 as these were local highs during the DeFi-inspired rally throughout August.
A breakout above those levels before the end of the year would confirm a new bullish phase in the market, which may well see Ethereum test the astonishing highs that were set during the 2017 bull market.
Ethereum’s all-time high stands at $1,430, and while it may seem unrealistic, if Bitcoin goes on to break $20,000 ETH will be delicately poised to break the $1,500 mark for the first time.
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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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