Ethereum Looks Primed For A Major Breakout

Ethereum is on the rise and looks primed for a major price explosion. The burning of ETH has begun.

Ethereum

While it is impossible to predict the price of Ether (ETH) over the long term, the fact that since the EIP-1559 upgrade on Aug. 5, 2021 nearly 2 million Ethereum tokens, worth about $5.2 billion, have been burned, means the network is working and being used as intended.

That metric, including the quantity of ether staked within the ETH 2.0 contract exceeding 10 million, has fueled a bullish outlook for the crypto among investors.

In fact, analysts after evaluating important factors such as the altcoin’s supply shrinkage and a drop in the network’s transaction fees, are cautiously predicting an ETH bullish breakout. @CryptoGeneral is undecided about the potential price trend of the token. He sees it going up in value (bullish), or down (bearish), depending on various factors, including the direction in which the symmetrical triangle (below) breaks out.

A breakout could push Ether towards a retest of all time highs with $5,500 as its next target, while a breakdown could see it nosedive around the $1,700 level.

Ethereum’s price rebounded from a multi-day decline this week, printing above the $2,700 area before retracting to the current $2.600 level. Cryptocurrency analyst Benjamin Cowen noted in early February that an $2,000 – $4,000 ranging ETH represents a major re-accumulation zone for a medium-term runway of higher prices.

Ether Price Action

The $312 billion market cap digital asset traded 0.15% higher at $2,600 at press time.

Reference: FXstreet

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