- Ethereum continues to follow Bitcoin price trend.
- Ethereum price movement showing signs of independent price movement.
- Ethereum market sentiment differs from Bitcoin despite a rise.
The king Bitcoin over shadows the cryptocurrency market and the queen Ethereum is often dependent. Ethereum price has hit a new high above the $370 mark, however, unlike Bitcoin the Ethereum price chart that the price movement differs when it comes to the formation of a head and shoulders pattern on the charts.
A head and shoulder pattern is often associated with an incoming down trend and more often than not it plays in the same direction. Ethereum has time and again tried to break free of the Bitcoin influence and the launch of Ethereum 2.0 Proof of Stake based conceptual blockchain was one of the moves.
However, as the COVID-19 pandemic hit the world progress in that direction was over shadowed by the mainstream trends. On the other hand, the cryptocurrency leverages the dAPP market from time to time as a sign of resistance against Bitcoin influence. At the time of writing Ethereum price stands at $371.48 mark.
The chart above explains that, following the market trend a bullish Ethereum momentum is building up, but would it be able to act independently this time is still a question. It is generally believed that if the queen of cryptocurrency manages to break free of the Bitcoin movements it can topple the Bitcoin dominance.
Ethereum price movement: What to expect?
The Ethereum market sentiment is rather grim unlike Bitcoin, which is sending mixed signals. The buy and sell sentiment on Trading View based on technical indicators is still giving off selling signals. This also marks a struggle between hodlers and daily traders, those looking to cash out can start selling to cash out their profits. While if the hodlers can maintain the market integrity, Ethereum price movement would stay strong.
Trading View analyst Vince Prince explains that Ethereum price faces two major resistance marks at this point. The first resistance level stands at the $388 mark while the second most important resistance stands at the $421 level.
Prince explains that the price movement depends on Ethereum action signals and if the sustainability persists Ethereum can hit higher targets. Right now, Ethereum price support levels need a stronger high point to rely upon in order to push for higher targets.
He furthers that unlike Bitcoin Ethereum price is seeing lower highs where Bitcoin recovered as high as 86.65 percent of the previous monthly high, Ethereum has only been able to hit 77.08 percent on the same time frame chart.
Similarly, another Trading View analyst Trading Axis explains the same long term price movement with slightly different resistance levels. Axis explains that the strongest resistance level stands at the $480 mark, while the $241 mark serves as the strongest support level. Whereas, another analyst Atlas Trader explains that the price movement is shadowing Bitcoin and if the market momentum remains the same, Ethereum is also likely to gain a new high and in case of a Bitcoin price saw, ETH price is also likely to show similar traits.