Ethereum saw explosive gains yesterday, with the main altcoin rising about 10% from its daily low of $515 to hit $570 at the time of writing. Ethereum can be congratulated on reaching a new 2020 high. But this may be only the beginning of the rally, and Ethereum will show new growth points more than once before the end of the year.
The optimism about Ethereum price dynamics is reinforced by several positive factors. The first is the market behavior of Bitcoin. After peaking at $18,488 in the last trading week, the flagship crypto price has dropped to $17,500. One of the reasons for the price pullback was the decline in institutional investor activity over the weekend. Bitcoin may be now approaching a correction phase, so market participants are switching from BTC to altcoins.
Secondly, we see a general recovery in the DeFi market, which is accompanied by a new influx of funds. Leading DeFi tokens also cheered up after falling in November and closed last week again.
"According to technical analysis, we can slightly adjust from the current price to the level of 560-570 USD, but Ethereum is gaining momentum and does not plan to stop yet; the limit of 600 USD does not seem so impassable. Most of the market participants are set for growth now, and until we see protocol 2.0, the increase will continue with small corrective movements."
Ethereum 2.0 “heats” the price of ETH
The launch of the deposit contract was one of the catalysts for the current surge in the price of Ethereum. As we approach the deployment of the new phase of Ethereum 2.0, this trend can only intensify.
Vitalik Buterin, is convinced that at this stage the foundation is being laid for the successful integration of the Ethereum ecosystem into the global economy. He also added:
“Now it is important for us to build a reliable ecosystem so that in 2 years our main task is narrowed and consisted only in supporting the functionality of the network. Our team is following the Ethereum 2.0 roadmap, and upon completion of the upgrade process, we are confident that we will reach the point where our network becomes an integral part of the global economy. "
In general, analysts give positive forecasts regarding the dynamics of the price of Ethereum in the long term, and the launch of Ethereum 2.0 may play a decisive role in this.
The optimism about Ethereum price dynamics is reinforced by several positive factors. The first is the market behavior of Bitcoin. After peaking at $18,488 in the last trading week, the flagship crypto price has dropped to $17,500. One of the reasons for the price pullback was the decline in institutional investor activity over the weekend. Bitcoin may be now approaching a correction phase, so market participants are switching from BTC to altcoins.
Secondly, we see a general recovery in the DeFi market, which is accompanied by a new influx of funds. Leading DeFi tokens also cheered up after falling in November and closed last week again.
"According to technical analysis, we can slightly adjust from the current price to the level of 560-570 USD, but Ethereum is gaining momentum and does not plan to stop yet; the limit of 600 USD does not seem so impassable. Most of the market participants are set for growth now, and until we see protocol 2.0, the increase will continue with small corrective movements."
Ethereum 2.0 “heats” the price of ETH
The launch of the deposit contract was one of the catalysts for the current surge in the price of Ethereum. As we approach the deployment of the new phase of Ethereum 2.0, this trend can only intensify.
Vitalik Buterin, is convinced that at this stage the foundation is being laid for the successful integration of the Ethereum ecosystem into the global economy. He also added:
“Now it is important for us to build a reliable ecosystem so that in 2 years our main task is narrowed and consisted only in supporting the functionality of the network. Our team is following the Ethereum 2.0 roadmap, and upon completion of the upgrade process, we are confident that we will reach the point where our network becomes an integral part of the global economy. "
In general, analysts give positive forecasts regarding the dynamics of the price of Ethereum in the long term, and the launch of Ethereum 2.0 may play a decisive role in this.