Ethereum trades have slowed down, and experts predict this signifies an incoming rally. If successful, Ethereum value can shoot past $4,000. ETH's overall performance teases a strong potential that can surpass Bitcoin price.
Two of the largest cryptocurrency by market cap are Bitcoin and Ethereum. Traditionally, these two also feature the most stable markets in the industry. Experts look into its 2021 performance to predict the next big trend coming to the market.
Ethereum Price Prediction: ETH Preparing for a Rally
At the time of writing, Ethereum is trading at $3,446.84, with a 9.58 percent decrease in the last 24 hours. Its values are dipping lower, resembling a "falling wedge" market graph, per Crypto Potato.
Note that Ethereum's key support levels are $3,300 up to $3,600, and its key resistance levels are $3,800 up to $4,000. Traders should watch out whenever ETH value approach any of these numbers.
Experts in Crypto Potato admit "there is nothing impressive" with ongoing trades. However, they believe that ETH is preparing for a big move. This incoming surge could go either way, for a bullish or bearish trade. Note that the change is expected to occur before the end of the week.
Crypto Potato emphasized that a strong momentum is necessary to break through resistance levels. If ETH trades fall short of the indicators, then investors' profits will be minimal on this incoming surge. However, if it breaks past the resistance levels, ETH might be in track to set new highs.
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Bitcoin Price Decline Below $45,000
In contrast to Ethereum's success, Bitcoin struggles to maintain its dominance. At the time of writing, it is trading at $43,205.55, with a 6.9 percent decrease in these last 24 hours.
According to CoinDesk, Bitcoin took a critical blow when the U.S. Federal Reserve announced a possible interest hike coming this March. Some traders expected this development, but it still negatively impacted the market.
Nonetheless, experts are confident that Bitcoin will stabilize between $40,000 to $50,000. This means traders should be wary if the value of BTC falls out of these indicators.
It is worth noting that instead of falling together with Bitcoin's bearish trades, many altcoins reportedly outperform the market in these last few weeks. Some of these cryptocurrencies are LINK, ICP, FTM and ETH. The surprising results indicate that traders might be shifting their interest to other markets.
CoinDesk pointed out that Ethereum is roughly 50 percent away from taking over Bitcoin as the largest cryptocurrency according to market cap. Ethereum is also gaining ground over Bitcoin in other metrics like Google search interest, transaction counts and active address.
Experts theorize that potential opportunities in Ethereum might eventually outperform Bitcoin. This is because of Ethereum's unique projects with decentralized finance (DeFi), smart contracts and nonfungible tokens (NFT).
However, be warned that these price predictions are strictly speculations made by experts and details are subject to change. Concerned traders should wait and see if the market will follow these interesting predictions or take a different route entirely.
