Ethereum price prediction: Bulls are actively betting on ETH staying above $2,000
Ethereum price prediction: Bulls are actively betting on ETH staying above $2,000
Asset management giant BlackRock (BLK) has registered the iShares Ethereum Trust in the state of Delaware, according to BlackRock Advisors.
A BlackRock spokesperson declined to comment on the news, but ETH jumped above $2,100 on the news.
On Nov. 9, ETH made an unexpected 10% spike, breaking the psychological $2,000 barrier. This spike, triggered by news of the BlackRock iShares Ethereum Trust's registration in Delaware, led to the liquidation of $48 million worth of ETH shorts.
Experts see Ethereum as a unique platform with limitless potential. In the ever-changing world of cryptocurrencies, Ether occupies a special place, and many investors believe that this asset may well overtake Bitcoin.
The ETH bulls have gained the upper hand despite the spot ETF narrative, as prior to the BlackRock news, ETH rose 24% between October 18 and November 8. This price movement reflects increased demand for the Ethereum network, as evidenced by 30-day decentralized application (DApps) data.
The largest altcoin initially dipped into the $1,800 range but regained support at $2,000, extending its weekly gain to 17%.
At the time of writing, Ethereum was trading at $2,101.67, up 10% overnight.
The On Balance Volume (OBV) indicator confirmed the bullish outlook for the ETH price after the weekly chart resumed its uptrend around mid-October. This indicator tracks both money inflows and outflows in the market.
The sustained uptrend confirms that the bulls intend to stake actively, provoking the Ethereum price to move higher rather than retreat. The transformation of the $1,900 resistance level into a support line increases confidence in the uptrend.
However, the recent increase in transaction fees in Ethereum and Bitcoin has reignited the debate about scalability and the role of Layer 2 networks. According to a Cointelegraph test transaction, a $300 transfer from an Ethereum hot wallet cost $45.65 on the decentralized exchange Uniswap. Rising gas prices have prompted Solana's backers to demonstrate how much cheaper transactions are on the blockchain.
Read also: After rising above $37,900, the price of BTC has returned to the $36,600 area.
