“The ETH pump isn’t over yet. It’s only just getting started,” one analyst claimed. The largest altcoin surged past $2,400 as a broad positive momentum enveloped the cryptocurrency market, coinciding with the Democrats’ victory in the US midterm elections. Subsequently, it experienced a sharp rejection and fell below $2,300. Nevertheless, analysts are currently expressing optimism regarding the potential for ETH’s price to exceed $3,000 and possibly reach even greater heights in the near term. Meanwhile, the resurgence of institutional interest bolsters the optimistic perspective. X user Ted noted that ETH has finally reclaimed the 50D EMA level after pumping above $2.4K, calling the move “a major sign of strength.”
Historically, sustained increases beyond that zone have frequently aligned with phases of ongoing upward momentum. Crypto Candy noted that the cryptocurrency has been establishing higher lows, consistently recovering from each pullback and sustaining its bullish structure. The analyst is examining the broader context, contending that the bullish framework persists and anticipates a surge toward new highs. The X user also stated they acquired ETH when it was valued at approximately $2,270. Wealthmanager and Merlijn The Trader also contributed. The former believes ETH’s pump isn’t over yet and envisions a rise above $3,000 in the coming months.
The latter characterised the asset as “the sleeper of this cycle” and observed that its price has undergone a second test of a band that has remained intact since 2018. Earlier this week, Ali Martinez provided his perspective as well. He stated that ETH’s recent decline to a local bottom of approximately $2,200 aligned with the TD Sequential, which indicated a buy signal on the three-day chart. Meanwhile, spot ETH ETFs have finally recorded a positive day, drawing in excess of $50 million. This marks the highest daily inflow since September; however, it may be premature to declare a trend reversal, considering the ongoing decline observed over the past several weeks.
Ethereum’s Relative Strength Index presents an alternative narrative. The indicator, which gauges the velocity and extent of recent price fluctuations, is frequently utilised by traders to identify possible price reversal points. It operates on a scale from 0 to 100, with values exceeding 70 indicating that the asset may be overbought and potentially poised for a correction. Conversely, any value below 30 is typically regarded as a buying opportunity. Currently, the RSI is positioned at approximately 72, supporting the bearish thesis.
