Ethereum just broken $ 3,000 For the very first time.
By removing a critical psychological hurdle, the world’s second largest cryptocurrency by market capitalization recorded positive gains for seven consecutive months.
ETH is one of the many altcoins that have been making moves lately.
Ethereum surpasses $ 3,000 for the first time as Bitcoin tests $ 60,000 again.
The industry is bullish on Ethereum.
Activity is increasing on the Ethereum network.
Much of the increase in network activity is due to positive news about Ethereum.
European Investment Bank issues digital bonds on Ethereum, there are Ethereum ETFs in Canada and the ETH 2.0 the transition to a proof-of-stake consensus model is becoming a reality.
Just the other day Coinbase even warned users that they can now ETH bet on their platform to earn a percentage return on all holdings.
Quick break – what is staking?
Staking is about keeping your coins on the network.
Proof of stake means coins held on the network validate transactions. The more rooms an owner has (and sometimes the pieces are older), the more that owner is rewarded.
This contrasts with Proof of Work, which rewards miners with coins to validate transactions. Minors, like me, do this by running software on custom hardware.
The miners will not be here forever.
I am mine from Ethereum. Our time is limited. It is inevitable that mining profitability around Ethereum will decline in the coming months.
The more staking is introduced on major platforms, the more Ethereum advances its overall roadmap around ETH 2.0.
Bitcoin eyeing $ 60,000 again.
The world’s largest cryptocurrency by market cap could be poised to retest the all-time high near $ 64,000 if it can stay on track.
Bitcoin is universal and open source, it is not tied to any centralized entity anywhere. It doesn’t work like traditional markets. There are no after-hours trading periods. It’s always on.
Bitcoin even sees movement from when Asian markets wake up versus US markets and everything in between. It always happens. BUT, Bitcoin is also widely supported by investors and platforms more closely related at these traditional markets, so we don’t know what just any Monday can bring.
I hesitate to say that I’m anything but optimistic, but I think the next few months are going to be huge for Bitcoin and the overall crypto market.
This means that Ethereum’s momentum is likely to continue as well. As always, however, As Bitcoin Evolves, So Does The Market Evolve.
Bitcoin is still roughly halfway through the current market cycle. It’s good for Ethereum and others. There is still a lot of leads for this cycle.
Ethereum can successfully reach ETH 2.0 checkpoints, increase network activity, and again see a price drop if Bitcoin corrects though.
Despite the recent talk about ETH’s separation from BTC and its independent move, the jury is still out.
Ethereum has yet to be tested on its own.
This all-time high-priced new stock could very well be Ethereum’s first major test without Bitcoin.
Big things are happening on many projects, but we’ve seen big projects go up and down (and even disappear) in the past. Watch 2017-2018. Many altcoins did not survive the bear market thereafter …
Everyone looks like a genius in a bull market. Dogecoin, an altcoin that has not experienced significant development since its inception and that has a unlimited supply the rooms pumps in a bull market. But, then do it “quality”Projects like Ethereum. It is difficult to see the forest for the trees at this time.
The point is, everything pumps in a bull market.
This is the bear market where the real development of the network occurs, and we see which projects will stay alongside Bitcoin.
Where does Bitcoin go next?
$ 60,000 is the next upward price point to watch for bitcoin. We’re seeing significant resistance there, so Bitcoin is ready for another big test this week. The request to buy / sell on crypto exchanges poses a challenge for BTC, but that could change at any time.
New inflows of money or stablecoins on the exchanges and what they do next could indicate which direction we are headed. As long as BTC tends to increase (or even on the side), it will consolidate and possibly strengthen FOMO sentiment as it returns to the all-time high of $ 65,000.
Consolidation in the mid-high $ 50,000 is essential for now. Bitcoin is not showing strong support near current levels. At the time of writing this article, BTC was closing at $ 59,000 and the closest lower support level is $ 52,000.
Successful push to $ 65,000 opens Bitcoin to several price calls we’ve seen between $ 72,000 to $ 77,000. If that happens it’s off to the races – maybe to those higher calls we’ve seen such as $ 115,000 by Pantera Capital.
We cannot ignore the impact of ETH on BTC at this time.
With the new ETH, it’s important to watch what traders are doing – as always, especially those whale and newcomer segments.
There is a good chance that new retail investors will jump on the Ethereum rally, but they could switch to Bitcoin if it takes $ 60,000, not wanting to miss another all-time BTC.
I saw ETH price predictions of $ 3,500 at the end of the week. I’m also starting to see talk about $ 10,000 ETH by the end of 2021… This is all based on very recent price action.
There is so much uncertainty around the market.
ETH has a lot to live for.
The network should continue to see a steady volume of transactions (despite high fees), increased staking, AND ultimately needs to reduce transaction costs as ETH 2.0 rolls out.
If Ethereum can stay on track and hit its checkpoints, it could be a few bullish months for it and other altcoins – but of course, Bitcoin price action can always change everything.
Prepare for the coming weeks.