Ethereum Price Prints 5 Week High as DeFi Crypto Regroups

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ETH has surged over 42%in the last week, outperforming most of its crypto peers. However, there are still perilous days ahead, given the macroeconomic dynamics at play. With such optimization in the crypto market, the second leading cryptocurrency, Ethereum, prints five weeks high as DeFi crypto regroups.  

Ethereum Price Review

The current price of Ethereum is $1,559.04, with a 24-hour trading volume of $21946 million. Despite a surge of over 42% in 7 days, Ethereum’s price shows a slight bearish correction and has lost 0.08% in the previous 24 hours. CoinMarketCap now ranks #2, with a live market cap of $189620 million. It has a circulating supply of 121,626,148 ETH tokens and no maximum supply.

The price of Ethereum closed at $1592.71 after reaching a high of $1596.61 and a low of $1589.73. However, it is consolidating and struggling to hold its ground and keep a green candle lit for the day.

Hilary Kivitz, the Web3 Advisor, speaks at EthCC 5

Hilary Kivitz, a Web3 adviser and former partner at a16z Crypto, spoke at the Ethereum Community Conference 5 in Paris. The conference was held on July 19th about decentralized autonomous organizations (DAOs) and their defenses against hostile takeovers.

Kivitz suggested that Web3 be used in conjunction with traditional financial toolkits to mitigate these risks. For example, one of the options she presented was “poison pills,” a traditional financial mechanism that can raise the purchase price and create other disincentives for hostile takeover bids. This news positively impacts the ETH coin as it discusses future innovations on the Ethereum platform.

Is the Ethereum ‘Merge’ Driving This Rally?

The Ethereum platform team has announced that Ethereum 2.0 will be released on September 19th. The Ethereum blockchain will stop using the PoW (Proof of Work) methodology as the leading NFT network completes the long-awaited transition to PoS (Proof of Stake), significantly reducing the blockchain’s carbon footprint. One sign that Ethereum 2.0 is ready to launch is the fact that 13 million tokens are now housed in smart deposit contracts. 

Following the change, the money could make the network more efficient, and the platform’s audience would grow. For instance, when Ethereum switches from proof-of-work to proof-of-stake, the Ethereum Classic network may see a significant exodus of miners. However, following the theft of 3.6 million ETH, the Ethereum Classic blockchain has continued to function as the “authentic” version of the alternative token, preserving its integrity. 

Lido Finance to Adopt Layer 2 Scaling for Ethereum

Furthermore, Lido Finance announced yesterday that it would reduce fees and accelerate the adoption of Layer-2 scaling solutions for Ethereum (ETH). The average cost of staking on the Ethereum blockchain is $520k. Lido Staked Ether (stETH) only fuels the blockchain’s bullish momentum, with Lido controlling the ETH 2.0 market share. It allows users to stake any desired amount.

Eventually, this boosted ETH/USD’s momentum and helped the crypto pair. Furthermore, Ethereum (ETH), the second-largest crypto by market cap and the largest altcoin by market cap, has soared from its recent lows to record an astounding 50% gain in just under a week.

Before we get into the short-term price prediction, you can look at the Ethereum price prediction from 2022 to 2025.

ETH/USD Price Chart – Source: Tradingview

ETH/USD Daily Technical Levels

Support    Resistance
1485.67     1610.73
1427.68     1677.80
1360.61      1735.79
Pivot Point: 152.74

Ethereum Technical Outlook

On a daily basis, ETH is facing significant resistance near the $1,623 level. The downward trendline is extending this specific resistance level. A Doji candle that closes below $1,623 indicates that the bullish trend is weakening.

At the same time, the leading technical indicators, such as the RSI (relative strength index), have entered the overbought zone and are reversing after testing 80. Similarly, the MACD (moving average convergence divergence) has produced smaller histograms than in the past. Both trading indicators indicate the possibility of a bearish correction in the ETH/USD price.

A surge in ETH/USD demand could result in a bullish breakout above the $1,623 resistance, exposing the coin’s price to $1,720 and $1,918. ETH’s immediate support, on the other hand, remains at $1,500 and $1,415. A break below $1,415 exposes the ETH/USD coin to the $1,340 level. Keep an eye on $1,625 because buying is possible above this level and vice versa.  Good luck!

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