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Ethereum Market Report: ETH/USD on the verge of a massive rally, here's why

  • The number of ETH wallets surpassed 100 million, which is a bullish signal.
  • On the intraday charts, ETH/USD is locked in a tight range,

Ethereum's ETH is changing hands at $243.50, down 1.25% since the beginning of the day and mostly unchanged on a day-to-day basis. The second-largest digital asset with the current market value of $27 billion has been range-bound recently after a failed attempt to clear $250.00

Big rally ahead

The number of wallets on Ethereum blockchain exceeded 100 million for the first time since the creation of the cryptocurrency. According to the founder of Mythos Capital and crypto investor Ryan Sean Adams, the growing number of wallet may be a harbinger of mass adoption. He compared ETH addresses to bank accounts, and added that brings the real value of the Internet.

100 Million Bank Accounts. On Ethereum. Ethereum doing to value what the internet did for. Not likes & links but value & volume. Not.gifs &.jpgs but erc20s & erc721s. Not the internet of communication the internet of value.

He also added that unlike the bank accounts, wallets are independent of companies and governments, available anywhere in the world and belong exclusively to their owners.

ETH/USD: Technical picture

On the intraday chart, ETH/USD has a very strong support at $242.00. Technical indicators clustered around that level include 1-hour SMA100, SMA50, SMA200. Once it is cleared, the downside momentum may be extended towards the lower line of the 1-hour Bollinger Band at $241.00 and psychological $240.00. However, fresh buying interest clustered around that area is likely slow down the decline and create a precondition for a rebound. 

On the upside, a sustainable move above $245.00 is needed for the upside to gain traction. This resistance is created by the upper line of the 1-hour Bollinger Band, also, it is the upper line of the recent consolidation channel. Once it is out of the way, the upside is likely to gain traction with the next focus on $250.00 with the intraday high located on approach. 

The intraday RSI stays flat, which means that the coin will continue moving inside the range for the time being.

ETH/USD 1-hour chart

Author

Tanya Abrosimova

Tanya Abrosimova

Independent Analyst

 

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