Shanghai Ethereum Update: Whales Keep Taking Profits


An update awaited by operators – There shanghai update arrives, and the course ofEthereum keep on climb. Speculation is present before this major event for the leader of altcoins. Indeed, some traders think it is time to take profits. Others think this is a buying opportunity. The whales, they continue to take profits? Can Ethereum price take advantage of the news to join $2,400 ? We take stock graphically of the situation of Ethereum and altcoins.

This Ethereum price analysis is brought to you in collaboration with CryptoTrader and its algorithmic trading solution finally accessible to individuals.

Ethereum back to $2,400 soon?

Ethereum (ETH) is less than a week away from the long-awaited update by operators. It seems to be positive for the courseas it continues to evolve at the rise.

Ethereum price against the dollar (3D)

The course was based on the support at $1,700 to return to the level of resistance at $1,900. In the event of a fall, the institutional bias (EMA 9/EMA 18) could act as dynamic support. The objective of the buyers is to get the price to close above the last high at $2,030. If this scenario is realized, the price will be bullish again on a weekly basis. Therefore, a return to the resistance level at $2,400 would be possible. On the buyers’ side, hold the support at $1,700.

THE ROI continues to evolve above the bearish trendline and some bullish trendline. The momentum is currently in the hands of the buyers.

In 4 hours, Ethereum price is in danger below $1,875

The price is sliding below the support at $1,875. If buyers do not react, sellers could take the opportunity to regain control.

Ethereum price to hold support at $1,875 - April 7, 2023
Ethereum price against the dollar (4H)

If the buyers rally and reclaim the support at $1,875, the price could join the next resistance at $2,000. On the other hand, if the sellers push, the price could join the next support at $1,770. It is a level which had already allowed a bounce. It should be kept.

THE ROI continues to grow above the bearish trendline, and it shows a trend with rising lows and highs. For now, the buyers are in control of the momentum.

Whales continue to take profits as Shanghai update approaches

THE whales are entities with more than 1,000 BTC. Here, we will focus on entities with more than 10,000 ETH. These are players who can impact the price. The Shanghai update is positive for ETH, but the higher the price rises and more addresses with more than 10,000 ETH seem distribute.

Whales are distributing as the update approaches Shanghai - April 7, 2023
Evolution of the number of addresses with more than 10,000 ETH – Source: Glassnode

In end of 2022the whales have accumulatedETH around $1,000. From now onthe price is close to the psychological round number of $2,000 and the whales have changed behavior. Whales taking profits for the update?

Could the ETH/BTC pair fall further?

The price of the pair has been falling for several months. It has dropped below the intermediate support of the range, the sellers could show.

The pair could once again fall to the level of the bearish institutional bias - April 7, 2023
Price of Ethereum against Bitcoin (3D)

The price is rebounding, but it is in contact with the resistance at 0.066 BTC. Moreover, the bias institutional is oriented decrease. It could act as a dynamic resistor. If the sellers show up, BTC could continue to attract capital and the price could return to the bottom of the range. For altcoin enthusiasts, it would take a reaction here to get back above 0.066 BTC.

THE ROI clearly displays a bearish momentum for many months. We will have to wait to find a momentum with troughs and ascending peaks to be optimistic. At the moment, the sellers have their hands on the RSI.

Bitcoin dominance above 47%, danger for altcoins?

In 2023, BTC focuses the attention of operators. Altcoins are struggling to express themselves and the dominance of BTC is above 47%.

Bitcoin Dominance Still Above 47% - April 7, 2023
Bitcoin Dominance Chart (3D)

The course has several times bounced back the level of institutional bias. It could again act as a dynamic support. If the price manages to overcome the weekly resistance, the BTC could continue to rule the cryptocurrency market. However, the course has been repeatedly rejected at this level. If the price gets rejected again and falls below the 47% resistance, altcoins would have a shot. A fence below 46.8% would score a local top on bitcoin dominance.

THE ROI evolves to rise for many months. For now, the indicator remains bullish. One would have to start seeing a downtrend on the RSI in order to be bullish on altcoins.

Altcoin capitalization tries to break the bearish trendline

For the capitalization price to regain color, it would have to move beyond the bearish trendline.

Altcoin capitalization tries to break the bearish trendline - April 7, 2023
Altcoin Cap Chart (3D)

THE institutional bias East bullish. It allows to slight rebounds For now. Buyers have the opportunity to show up for the price to return to the level of the resistance at $670 billion. As long as the price remains stuck below the resistance at $670 billion, altcoins will find it difficult to express themselves. A close above the $700 billion high would be very positive for altcoins. If the course gets rejected here, it could join the support at 480 billion dollars.

THE ROI rather solid since June 2022. The trend should continue. For the moment, buyers have their hands on the momentum.

In conclusion, Ethereum to the possibility to return to $2,400 in the next weeks. For this, we must keep the support at $1,700. Also, in the short term, the price should go back above the zone at 1,875 dollars. Otherwise, a return to $1,770 is possible. THE whales continue to take profits, as the price climbs. Their goal is probably to distribute before the Shanghai update. The pair ETH/BTC is fragile. The course could well be rejected at the level of the resistance at 0.066 BTC. If so, altcoins could still suffer.

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