Why Ethereum is set to jump back above $2,000 and move higher

Ethereum price rallies over 5% intraday.
ETH price set to pop above a technical level and trade above $2,000.
Expect to see a rally this week towards $2,574.15.

Filip Lagaart FXStreet

Ethereum (ETH) price sees bulls storming out of the gate this morning as investors come back with a vengeance bearing a big bag of money to put to work. The Relative Strength Index (RSI) has shot up sharply this Monday during the ASIA PAC and European sessions, showing how overweight bulls are in the trade, and setting the tone for this week. Expect to see price driven up higher throughout the week towards $2,574.15, booking its best performing week for the year so far, with around 40% of profit gained by Friday.

ETH price ready to book its best week with 40% gains

Ethereum price is set to sprint higher as the week starts with ETH in pole position ahead of the cryptocurrency rally in the asset class. ETH price popped 5% higher during the ASIA PAC session, in a move that showed that bulls are putting their full weight on the scales and outpacing bears as the RSI jumps sharply higher. With this massive move, ETH price looks set to book its best performing week for the year and will say goodbye to $2,000 for a long time as a bullish summer is just around the corner.

ETH price will be delivering the best bullish signal if it can close above $1,928.89 this evening after the US close. With that, bulls can search for support around that same level tomorrow morning and rally from there towards $2,148.67, by Wednesday. A similar pattern could see a pop above $2,278.42 before stretching the rally towards $2,574.15, where the 55-day Simple Moving Average (SMA) will trigger some profit-taking and a short fade to the downside.

ETH/USD daily chart

As many positive headlines emerge and geopolitical issues are fading to the background, it looks like a moment of equilibrium is set to kick in. Should a negative catalyst get activated, expect a temporary setback and a decline in the price action, putting ETH back towards $1,688.39. A break below that level could trigger a brief slide below $1,600. Such a slide could lead to around a 17% loss against the current levels that ETH price is trading at.