With over 52,606,127 holders, Ethereum’s (ETH) price has rallied over 28 percent in the last 14 days to trade around $1,568.46 on Tuesday. The second largest digital asset by market capitalization is likely entering the early stages of multi-week consolidation before the onset of the next bull market. Furthermore, Ethereum price has fully recuperated from the FTX and Alameda implosion
After briefly breaking out of the 2022 bear market in mid-October, Eth’s price has rebounded and converted the resistance trend line to a support level. The theory is also reiterated by the 200W MA and last week’s closing candle that indicates bulls are in control.
Having traded in a perfect wedge since hitting lows in June last year, the weekly bar close in the next few months will significantly influence the next trend in the Ethereum market.
The ETH bull case scenario is also supported by the RSI indicator that shows rising divergence over a lengthy consolidation period. A further rally beyond the current levels could completely invalidate the 2022 bear market.
The undisputed king of blockchain smart contracts continues to attract institutional investors and developers seeking to build scalable and secure Web3 projects. This is evident by the high transaction count of over 1,843,304,923, according to on-chain data provided by tokenview. Additionally, over 15,990,446 ETH have been staked by about 499,701 network validators.
Furthermore, the Ethereum ecosystem takes pride in over $46.99 billion locked-in Defi platforms. However, the figure is bound to decline significantly after the Shanghai upgrade which will allow withdrawals of staked Ethers on the beacon chain.