Ethereum has rallied so far this week, erasing some more losses as it crests the $2,800 level, tying last week's highs. This is bullish, although we have to consider whether or not this is indeed a resumption of the uptrend or a deadcat bounce before another selloff.
(June 3, 2021 8:30 PM EST)
Short-Term:
ETH is up over 50% from its capitulation bottom in late May, challenging last week's highs and not far from $3,000. Fundamentals remain unchanged and buyers continue to accumulate, so it's not surprising to see a rebound. There is also a buzz in the crypto space as we head into the 2021 Bitcoin Conference in Miami this weekend which is drawing an impressive list of A-list figures and companies. This could be a "buy the rumor, sell the news" events, but we'll have to wait and see.
If ETH falls back below $2,500, we could see a drop to $2,000 and a retest of the lows around $1,800, or even the 50 Week EMA around $1,450. If ETH breaks above $3,000, then we'll look to $3,500 and then $4,400, though this would likely be more related to a breakout in the ETH/BTC chart below.
ETH/BTC:
