Ethereum Surges Against Bitcoin as Bulls Try to Spark Price Discovery
- Ethereum has seen some immense turbulence throughout the past few days and weeks, with buyers and sellers both vying to gain control of its price action
- The cryptocurrency has been unable to gain any clear trend, with buyers keeping it stable between $1,200 and $1,400, while sellers continue guarding its all-time highs
- It has now tested, and broken above, its all-time highs from late-2017 on three occasions, but each one has been met with massive selling pressure
- This could indicate that bulls are bound to see further near-term downside unless the entire market begins ascending once again
- One trader is noting that, from a technical perspective, ETH appears to be far stronger than BTC, which could mean that it is positioned to breakout
Ethereum has seen mixed price action as of late, with its weakness largely coming about due to Bitcoin and its intense downside incurred throughout the past few weeks.
Fortunately for bulls, BTC has been able to remain above $30,000 despite all of its weakness, which may be a good sign for where it trends next.
While sharing his thoughts on where the cryptocurrency might trend next, one analyst noted that Ethereum could be on the cusp of seeing price discovery, with its strength against Bitcoin being striking.
Ethereum Rallies as Broader Crypto Market Rebounds
Yesterday was a weak day for BTC and the rest of the crypto market, with bears causing an intense selloff led by Bitcoin’s multiple breaks below $30,000.
Today, the market has stabilized, and Ethereum has been able to gain some momentum.
At the time of writing, ETH is trading up just under 8% at its current price of $1,340, which marks only a slight decline from its daily highs of $1,360.
Trader Claims ETH Could See Price Discovery as Strength Mounts
One trader explained in a recent tweet that Ethereum could soon see price discovery due to its immense strength against Bitcoin.
“ETH looks A LOT better than BTC rn. Consolidating in an upward channel. Acceptance above VAH would lead to further price discovery + alt season. D close below POC would take it to VAL.”
Image Courtesy of Byzantine General. Source: ETHUSD on TradingView.
Where the market trends next will undoubtedly depend on Bitcoin, but if it can stabilize, it could allow Ethereum and other altcoins to explode higher.
Featured image from Unsplash. Charts from TradingView.