Holy hand grenades, ETH! As of press time, Ethereum has now rocketed up above $250. We haven’t seen these values since the heady days of last summer, when ETH values topped $300.
More recently, the spike represents a 70% gain in value, which has analysts glued to their screens.
“Analyzing the daily chart above, we can clearly see the recent price growth witnessed by Ethereum,” writes Yaz Shiek this morning at Coingape. “(ETH) broke resistance at $230 and continued to rocket higher into the current resistance at $247. This resistance is provided by a long term bearish .382 Fibonacci Retracement level – measured from the July 2018 high to the December 2018 price low. It is also further bolstered by a short term 1.414 Fibonacci Extension level.”
Sheikh suggests that Ethereum “can only be considered as bullish – at this moment,” and, noting a mix of support and resistance levels, talks about how Bitcoin’s increase may have affected ETH prices.
We’ve seen this kind of activity before – when there is a lot of green in one area of the cryptocurrency world, it often raises other boats as well.
However, Ethereum’s morning gains are wild, roller-coaster increases that will tickle any traders who bought in before the spike. They’re now sitting on quite a few options!
Also, changes in the Ethereum landscape are convincing more traders that this blockchain platform has further to go. This includes talk of a merger between J.P. Morgan and Consensys, which we reported on yesterday, and new decentralized finance tools based on Ethereum blockchains.
Then there’s the promise of “Ethereum 2.0,” a system upgrade that, according to plans, will coexist with Ethereum 1.0 for a little while, offering improvements in the blockchain.
“Ethereum’s next system-wide upgrade, Eth 2.0, won’t launch in Q2 2020 as expected, but researchers remain confident the initial network parameters will deploy in 2020,” wrote William Foxley last week at Coindesk, covering a Reddit discussion involving Vitalik Buterin and others and detailing “95% confidence” o the part of some investors.
Will this spike spur Ethereum to new heights in terms of both value and user buy-in? We’ll see…