ETHEREUM Price Analysis 11-30: ETH Bulls Look To End Year On A High, Eye $4,000

by

As a seasoned analyst with over two decades of experience in the financial markets, I have seen trends come and go, but the current surge in Ethereum (ETH) is truly remarkable. The consistent rise in trading volumes, coupled with the growing interest from US investors as evidenced by CME open interest, paints a bullish picture for ETH.

There’s been a significant increase in trader attention towards Ethereum (ETH), as evidenced by the record-breaking open interest on the Chicago Mercantile Exchange, and a notable 27% rise in the Ethereum USDT supply during November.

2024 is nearing the end of the year, and Ethereum (ETH) is aiming to finish strongly, potentially pushing past $4,000 as it continues its upward trend.

Ethereum (ETH) Sees Surge In Investor Interest

As a researcher, I’m observing that Ethereum (ETH) is currently hovering slightly below the $3,700 mark, hinting at a potential surge towards the resistance at $4,000. The trading data indicates that ETH has solidified its position above the significant $3,500 level, suggesting an increase in investor faith in this asset. The recent price movements also indicate a strengthening market structure as ETH seems determined to continue its bullish trend.

The number of trades being made has significantly increased, suggesting high involvement in both futures and immediate market transactions, as well as a wide range of interest at the current price levels. This high level of market interaction implies robust market participation rather than brief, speculative activity.

Since the U.S. elections, Ethereum’s Commodity Futures Exchange (CME) open interest has noticeably increased and continues to climb alongside the price of Ether. This suggests that American investor curiosity towards Ether derivatives is escalating. Last week, the Ethereum CME open interest surpassed $2.8 billion for the first time, signaling a sharp rise in U.S. traders’ interest in the altcoin. Furthermore, this bullish sentiment has driven up the prices of Ether futures traded on CME as well.

Over the last four days, there has been a steady increase in investments into Ethereum exchange-traded funds (ETFs), surpassing the growth seen in Bitcoin ETFs, with a total of $225 million being poured into these Ethereum funds.

Ethereum Sets Sights On $4,000

Over the past period, Ethereum (ETH) has been consistently ascending significant barriers, aiming for a bullish finish this year. Following the U.S. election, ETH managed to surpass the 200-day Simple Moving Average (SMA) and the $3,000 mark, two levels it previously found difficult to breach. Upon reaching this level, sellers tried pushing the price under $3,000, but Ethereum discovered robust support around $3,100, preventing any further dip. After fluctuating between $3,100 and $3,200 for several trading sessions, ETH experienced a surge on Thursday (November 21), moving past $3,000 and ending the day at $3,360. However, on Friday, the price faced significant selling pressure and dipped back into negative territory, decreasing by 0.96% to $3,328.

The cryptocurrency ETH started the weekend with a surge towards $3,500. However, the buyers’ push stopped at $3,502, causing ETH to dip to $3,396, representing a 2% increase. Sellers re-entered the market on Sunday as ETH experienced significant volatility, leading to a 1.01% drop to $3,362. On Monday, ETH regained slightly, rising by 1.60% to reach an intraday high of $3,547 before slipping back to $3,415. It experienced another drop of nearly 3% on Tuesday, settling at $3,325. Despite this bearish trend on Tuesday, ETH saw a strong rally on Wednesday, soaring almost 10% and surpassing $3,500, ending the day at $3,657. However, it was unable to break through the resistance at $3,700 and fell back by over 2% to $3,580 on Thursday. Buyers made an attempt for recovery on Friday but could only manage a minimal increase, pushing the price up to $3,694.

During the ongoing trading session, ETH experienced a surge in momentum, reaching $3,733 from $3,700. However, it has since dipped slightly to $3,665, representing an increase of approximately 2%.

Where Next For Ethereum (ETH)?

As an analyst, I’m observing that Ethereum (ETH) is encountering resistance around the $3,700 price point. However, if ETH manages to surge past this level, it might push toward $4,000. A successful breach of $4,000 could potentially lead ETH to attain a new annual high surpassing the $4,522 mark. The Relative Strength Index (RSI) suggests a bullish trend, implying we may witness a rally steering towards the $4,000 threshold.

Read More

2024-12-01 10:37