Ethereum price has reached higher and higher lows throughout 2023 and since its low in June 2022.
Ethereum sentiment is at extreme lows despite the ongoing recovery in the cryptocurrency market. Controversy continues to prevent major altcoins from joining the fun.
However, a rising tide lifts all boats, and Bitcoin’s breakout might have been enough to revive Ether, albeit later than other currencies. The recent surge has been enough to put the top-ranked altcoin on the cusp of a long-term bullish crossover. This is what the sign means.
Ethereum Prepares LMACD Bullish Monthly Cross
Ethereum price has made higher and higher lows throughout 2023 and since its low in June 2022. Nearly 18 months later, ETHUSD is primed for a bullish crossover of the 1M LMACD, the logarithmic version of the divergence indicator and moving average convergence. This version of the tool is used to better compare historical price movements with current price action.
A bullish crossover represents a major momentum shift, made even more powerful because the crossover takes place right at the zero line of the indicator. Moving above the zero-line acts as a secondary signal, showing that momentum has strengthened towards bullish territory.
Such crossover in the past has led to a sustained bull market for Ether and altcoins, especially the DeFi space. The last bullish crossover appeared in May 2020 and lasted until a bearish crossover in January 2022 sparked a long crypto winter.
Domino Effect Could Trigger Triangle Breakout and Revisit ATHs
The bullish crossover on the LMACD is not confirmed, but a breakout of the 1-month On-Balance Volume (OBV) indicator could hint at the final outcome. OBV is called a “smart money” indicator, capable of helping traders detect moves early by tracking subtle changes in volume. All of these signals point to a possible breakout of the ascending triangle pattern that ETHUSD has been trading in for almost 18 months.
The chart pattern objective projects Ethereum price to hit all-time highs again, making a breakout especially significant. If Ether joins the current bullish price action alongside Bitcoin and other altcoins, it could provide the increased breadth needed for a spectacular cryptocurrency bull run.
Ethereum Weekly Forecast
According to a Forbes article, Ethereum is valued not only as a cryptocurrency but also for its smart contract infrastructure and its role in decentralized finance (DeFi). Experts believe Ethereum could reach a valuation of $40,000 by 2030, supported by its unique model, extensive market strategies, scalability solutions, and its leadership in decentralized applications.
As for more immediate predictions, Changelly suggests that Ethereum price could rise 4.45% and reach $1,940.53 in the week of November 6, 2023. Technical indicators show an 84% bullish market sentiment for Ethereum, while the Fear and Greed Index shows a score of 68 (Greed).
In the dynamic world of cryptocurrencies, Ethereum, the second largest cryptocurrency by market capitalization, is at the center of many debates and analyses. With impressive price movements and growing institutional interest, it is crucial to understand the current trends and forecasts that could shape the future of Ethereum.
Ethereum has seen an impressive recovery in recent weeks, with the price rising from $1,527 to a high of $1,867, an increase of 22.6%. Despite this positive performance, Ethereum faces challenges as Bitcoin struggles to break above $35,000, leading to increased selling pressure across the cryptocurrency market. This has stalled ETH’s recovery around the $1,800 mark and raised questions about an impending correction.
By Leonardo Pérez
