The Ethereum price is close to a bullish breakout. ETH is trading at $2,130, which is a few points below the all-time high of $2,150. Its market cap has also spiked to more than $245 billion. Other digital currencies like Bitcoin, Cardano, and Ripple have also spiked.
What happened: Ethereum and other cryptocurrencies rallied during the weekend as demand for the bigger coins continued to rise. This trend is because of the recent commitment by the Federal Reserve that it will not hike interest rates any time soon.
ETH price also rallied because of the relatively upbeat DeFi industry. In the past few days, the total value locked in the industry has jumped to a record $51 billion. Some of the biggest DeFi platforms TVL like Uniswap, Maker, and Compound has led this rally. The industry is important for ETH because most of the platforms are built on the Ethereum blockchain.
Further, the ETH has gained because of the fact that more institutional investors have jumped to the crypto bandwagon. As the new quarter starts, there is a possibility that this trend will continue.
Ethereum price technical prediction
In my last article on Ethereum price, I predicted that it would surge to $2,500. A look at the four-hour chart shows that this is highly possible. The price is a few points below a major resistance level and is being supported by the 25-day and 15-day exponential moving averages. It is also above the key support of $2,045, which was the highest point on February 24.
Therefore, in my view, the ETH price will soon breakout as bulls target the first resistance at $2,200. This will be followed by a rally to $2,300 as the digital coin target $2,500. However, a drop below $1,985 will invalidate this trend.
ETH price chart