In the ever-evolving world of cryptocurrencies, Ethereum (ETH) has recently witnessed a notable shift in momentum. After an impressive bullish breakout last week, the Ethereum price has lost some of its upward steam. With a fully diluted valuation hovering around $377 billion, the leading altcoin has experienced a decline of over 6% since Tuesday, currently trading at approximately $3,133 during the mid-New York session on Thursday, November 14.
Despite this downturn, the fear of a significant crypto market capitulation has markedly subsided. This change in sentiment is largely attributed to Bitcoin entering its price discovery phase. As of now, Ethereum’s fear and greed index has surged to an impressive 78%, indicating an environment of extreme greed among traders.
Key Levels to Watch for Ethereum Price Ahead
Ethereum’s price recently demonstrated a resurgence in bullish sentiment after successfully rebounding from the 200-weekly Moving Average (MA). For the first time since the crypto crash on August 5, Ethereum has consistently closed above the critical support and resistance range between $2,800 and $2,900.
Crypto analyst Michaël van de Poppe has pointed out that Ethereum has been underperforming against Bitcoin for the past two years. On the daily time frame of the ETH/BTC pair, a bullish reversal pattern is emerging, characterized by a support level around 0.034 and a rising divergence in the Relative Strength Index (RSI). With increasing institutional interest in Ethereum, the price is poised for potential gains. Notably, US spot Ether ETFs have accumulated more than $500 million in recent days.
Altseason Timings: What to Expect
Renowned crypto analyst Benjamin Cowen has advised altcoin investors to exercise caution and avoid the FOMO (Fear of Missing Out) associated with rallying meme coins, as the genuine altseason has yet to commence. Over the past two years, Bitcoin dominance has been on the rise, favoring Bitcoin over most altcoins.
Cowen emphasizes that the true altseason will occur when Bitcoin dominance experiences a significant decline. Presently, the OTHERS/BTC pair has been falling, reaching its lowest level since Bitcoin’s price soared past $93k on Wednesday.
As the crypto market continues to evolve, keeping an eye on these key levels and market trends will be crucial for investors navigating this dynamic landscape. Ethereum’s future movements, coupled with Bitcoin’s dominance, will play a significant role in shaping the broader altcoin market.
