Ethereum Surges Past Critical Resistance; Can ETH Push to $2K This Month?

  • ETH pushes upside but approaches higher chart resistances.
  • Bulls might look to extend upsides but also consider profit-booking.

The previous week saw Ethereum flipping $1,485 to support from resistance. That saw the alternative token on uptrends, gaining 10.9% so far. Moreover, the overall cryptocurrency market contemplates bullish inclinations in the upcoming days, as Bitcoin exhibited bullish tendencies.

Non-fungible token (NFT) trading volumes also deteriorated in October, though new traders increased by 18% over the month. That indicated massive demand within the NFT marketplace.

Bulls Watching $1.8K and $1,950

Ethereum printed the $1,270 – $1,390 range in September-October. Breakouts from the range saw the altcoin climbing to $1,600, though trading volume remained relatively high. The OBV (On Balance Volume) didn’t record massive upsides, suggesting that buying momentum may not be robust to reverse the high timeframe decline.

The on-balance volume crested a resistance mark from the previous six weeks, supporting the rally within the last two weeks. While publishing this blog, the price swayed beyond the bearish block printed during September early session. That would possibly encourage buyers, translating to a higher move.

However, how high can the token go? The $1.8K also stood around the resistance level and exhibited a bearish block on the 24hr timeframe. Also, the $1,950 level represented a region that sellers might dominate.

Though the RSI (Relative Strength Index) showed buyer dominance and the market structure remained bullish, market players should watch $1.8K and $1,950. Prudent traders might consider booking profits near these levels, whereas low-timeframe traders might flip these hurdles to execute long positions.

MVRV Surge Over Last Five Months

The 365-day MVRV (Market Value-Realized Value) hit levels near 4-year lows of -60% in June this year. Meanwhile, the MVRV embarked on slow upsides, despite Ethereum’s weak trend. That indicated that most buyers experienced losses within the previous year, but the latest months have seen some accumulation.

Also, network growth formed multiple higher lows in recent months, suggesting rising user adoption. That represented an optimistic state for long-term market participants.

Stay tuned for upcoming developments in the cryptocurrency world.

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