Ethereum (ETH) Shifts To High Gear

The Ethereum price (ETH) continues to rise over the past few days after a dramatic reversal in trading from its previous low of $1,000 within the last seven working days.

The USD/ETH pair surged above the $1,175 threshold on Wednesday. This was a much higher level than the previous week. As of this writing on Thursday, ETH was trading at $1,218 — an increase of 10.6 percent over the previous week, according to data from Coingecko.

Data show that the announcement by Ethereum developers of The Merge on Sepolia testednet, boosted Ether’s price by 5 percent in the last 24 hours.

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Ethereum gets some energy from the Merge

Merge will enable the Ethereum network’s transition to the Proof-of-Stake(PoS), network. A type of consensus mechanism that works with blockchains is the proof-of stake protocol. It selects validators based on their cryptocurrency holdings. To avoid the high computational cost of proof-of work techniques, this is done.

This week, the second largest cryptocurrency was under intense selling pressure. Since early April, the bears have dominated the market fully.

Over the last week, Ethereum prices have not fallen further because of support at 1,000. The question now is whether a short-term ascent is possible or not.

In recent months, Ethereum (ETH) and the broader cryptocurrency market have functioned in an environment marked by significant inflation, with the United States Federal Reserve taking steps to implement high interest rates.

ETH Total Market Cap at $146 Billion on Daily Chart | Source: TradingView.com

Ethereum Next Target: $1.250

Fears about an economic slowdown have grown, which has led to riskier assets, such as Ethereum, falling below the $1,000 support level for a while.

Thursday’s Ethereum price analysis is bullish, as money managers anticipate additional gains after consolidation ended and a break above $1,175 occurred. Therefore, it is expected that the USD/ETH pair will climb further and reach $1,250.

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Despite Ethereum’s significant price fall since the beginning of the year, the CoinMarketCap community forecasts that the decentralized currency will trade at an average price of $2,529 on July 31, 2022.

Meanwhile, today’s Ethereum price analysis is positive, as overnight gains above the resistance at $1,175 were sustained. ETH/USD is expected to continue climbing and target the $1,250 resistance. We expect a bullish continuation for July if this resistance is broken.

Featured Image from Mashable. Chart by TradingView.com

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