Ethereum is considered to be the second-largest Cryptocurrency in the market, and the first Altcoin that created the presence for other Cryptocurrencies to exist such as Litecoin and others. It was always compared to Bitcoin and there was a discussion a while back if it will ever replace BTC as the go to Cryptocurrency.

You see Ethereum’s core idea was never to excel in the market, instead it wanted to create a base for other Cryptocurrencies to shine. Ether’s ultimate goal is to provide a platform where Cryptocurrencies excel. Imagine a world where there was no Internet, then, the Internet sites such as Facebook, Amazon, Google never would have existed. Ethereum aims to become the “Internet” for Cryptocurrencies where it becomes the base for other coins to be created.

The creative mind behind Ethereum is currently working hard on ironing out the bugs that are found in the new iteration of Ethereum - Ethereum 2.0 - that is supposed to cut the costs of transactions in Ethereum by more than half. This will make using Ethereum as a payment method that much more feasible.

From a technological point of view, Bitcoin was a revolutionary idea with the introduction of Blockchain mechanics to the world of finance. It was like when the Internet was first discovered back in 1983 and was used by the U.S. Intelligence. Ethereum aims to do what Tim Berners-Lee did back in 1990 when he invented the World Wide Web and gave Internet access to the world.

If we were to make a decision on who will be the ultimate winner based on the technological aspect, Ethereum would probably win. Bitcoin has become rather stagnant in that area, not offering up anything new, while Ethereum is trying to push the envelope and evolve this market. So yeah, investing in Ethereum might be the way to go for long term investors.

That is from a Fundamental perspective, but let’s look at the Technicals for a second.

Technical Point of View

As of this writing, Ethereum is actually trading just under the $500 resistance level. This is a very important move for the Cryptocurrency as it would be the first time it reaches that level since 2018. Not to mention that breaking above that level would give the Bulls an incredible push to continue with the momentum.

However, with this level being such an important resistance, a retracement lower is not out of the question, and in fact, it could be an actuality that leads Ether back lower. The support level for such retracement is seen at the $495 level which was a previous resistance and has proven to be a worthy one. But will it also be able to act as a support? Only time can tell.

For now Ethereum is on the precipice of something big and in order for that to happen, a break above $500 is needed. When we add the current visual perspective of the RSI (Relative Strength Index) to the chart, we’d notice some divergence going on.

A couple of days ago, ETH wasn’t able to break above $495 and proceeded to correct lower in an extreme fashion marking a high on the RSI of 80. Now, the price action has broken above the $495, yet the RSI is at 76.50, indicating that a divergence is in motion. When this divergence happens, the price action is usually the one to correct and this time it will correct lower, proving that the $500 is too hard to beat at the moment. However, this analysis is based on the short term, longer perspectives are showing that there’s enough momentum for a break higher.



Now that we’ve tackled Ethereum alone, let’s see how the ETH/BTC pair is actually doing. It seems that this pair is on the rise because of Ethereum's sudden burst of positive momentum that is sending over the $500 level. Bitcoin is casually trading above the $18,250 resistance level as there isn’t this big movement. This is opening the chance for ETH to gain the upper hand.

When we look at the longer term trading conditions of this pair, we can directly notice the downward trend that started back at 0.03018 and seems to be continuing until now reaching 0.02630 as a low which has acted as a support for the pair and ignited the push higher.


So overall, it seems that Bitcoin will remain King for the time being. But on a long enough timeline, if Bitcoin is unable to actually advance technologically, it might not have the title of king. It would most probably keep the high price associated with it due to the limited quantity of tokens available, but Ethereum will be the go to currency.

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at are those of the individual authors and do not necessarily represent the opinion of or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Cryptos feed Join Telegram

Recommended content

Recommended Content

Editors’ Picks

Can Solana price enter a 50% relief rally?

Can Solana price enter a 50% relief rally?

Solana price is in the beginnings of a quick recovery rally that could propel it back to levels that were last seen nearly two weeks ago. Two technicals back the claim for why SOL could be ready for this ascent.

More Solana News

Ethereum Price Prediction: ETH will sweep the lows at $1,500

Ethereum Price Prediction: ETH will sweep the lows at $1,500

Ethereum price displays reasons to believe in a ‘sweep the lows’ event in the coming days. Traders should approach the smart contract blockchain with caution.

More Ethereum News

Assessing the possibility of a 40% upswing for Cardano

Assessing the possibility of a 40% upswing for Cardano

Cardano price is in a spot favorable for the bulls and short-term traders as a rally might be in the works. A minor retracement will allow interested buyers an opportunity to accumulate ADA at a discount before catalyzing an explosive uptrend.

More Cardano News

Bitcoin Weekly Forecast: The last rebound before capitulation

Bitcoin Weekly Forecast: The last rebound before capitulation

Bitcoin price is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the highier time frames suggests that the bottom is not in yet.

More Bitcoin News

Bitcoin: The last rebound before capitulation

Bitcoin: The last rebound before capitulation

Bitcoin is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the higher time frames suggests that the bottom is not in yet.

Read full analysis