Ethereum Aims for $5000 as Market Awaits ETF Approval

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Ethereum’s price is consolidating within a broader bullish market structure—a bull flag. Investors are closely monitoring the moment Ethereum’s price decides to surge, as missing this move could result in a potential 30% gain slipping away. Meanwhile, Bitcoin adoption continues to soar as BTC aims to break past its previous all-time high.

During European trading hours on Friday, ETH was trading around $3,811, marking a 1.3% decline over the past 24 hours but a 1.4% increase over the week.

Ethereum’s price has been trapped in the current consolidation zone for the past eight days. However, this chart pattern is part of a previously formed bull flag, suggesting significant potential gains if a breakout occurs. Ethereum’s price is trending above the 50-day and 200-day simple moving averages (SMA), indicating bullish sentiment among investors.

Additionally, ETH’s price action is climbing within an ascending channel, pointing to a brief accumulation phase before a breakout. The channel’s expansion suggests that ETH could attempt a breakout in approximately four days if all factors remain unchanged. However, fundamental news could significantly influence the current market structure of Ethereum.

Conversely, Bitcoin’s price is also forming a bull flag on the 4-hour chart. It is trending above both the 50-day and 200-day SMAs, signaling bullish momentum for the asset. BTC’s price is currently poised to test the upper boundary of its range.

If Bitcoin breaks out, we could see its price reach $74,000 in the coming days. The $72,300 level might present some resistance, but if the bulls are strong enough, they can easily overcome this barrier. On the other hand, strong support exists around $67,000, which could hold the price steady.

Future Outlook for ETH/BTC Price

Ethereum’s price surged from $2,800 to $3,900 in a single candle and is now stabilizing between $3,700 and $3,800. This activity precedes the approval of the S-1 filing and the subsequent launch of an ETF. While Bitcoin’s rise has been slow, Ethereum holds the potential for significant gains beyond $4,000 with the ETF’s introduction. The market eagerly awaits clarity on the S-1, as the 10-day period for withdrawing the ETF has passed.

Meanwhile, Bitcoin’s open interest has reached a new high of 520,000 BTC, surpassing the previous all-time high from March. Simultaneously, Bitcoin ETFs are thriving, with an inflow of $488.1 million.

Bottom Line

The cryptocurrency market is rife with speculation, often proving accurate. Bitcoin ETFs represent the best-case scenario. As investors speculate on the arrival of an Ethereum ETF, there is a general sentiment that the SEC is delaying but that approval is inevitable. Investors are eagerly anticipating the outcome of this ETF battle.

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