The Ethereum price performance continues to lead the current crypto wave.
After days of upward trajectories, ETH prices have pushed their gains versus the USD to 66 percent year-to-date.
At the same time, the ETH trading community can rightly brag. The Ethereum price–in the last year of trading, is up 60 percent against the most dominant coin.
Underpinned by smart contracting and the security of the base layer, Ethereum is now the home of DeFi.
BTC on Ethereum
As DeFi rise, more BTC continues to be tokenized through secure portals. As of writing–and according to data from BTC on Ethereum, there is over 20,000 BTC on Ethereum. This highlights the determination of BTC holders to diversify their income stream and not just hold.
Still, questions around Ethereum scalability continues to be raised. Scalability will be a thing of the past once Ethereum developers implement any of the proposed solutions.
Sharding is likely to be considered but the option of a Layer-2 solution is possible before POW is switched off.
Ethereum price analysis
Despite yesterday’s volatility, ETH buyers are in control. Backed by high trading volumes, the Ethereum price is trading at a one-year high after closing above 2019 highs.
Notably from the daily chart, bullish candlesticks are banding along the upper BB and diverging away from the middle BB. This translates to high bullish momentum.
Though yesterday’s bar may hint of profit-taking, the long lower wick and the failure of bears to follow through points to sustained buying in lower time frames.
Nonetheless, if there is no follow-through today with the Ethereum price closing above $400 by close of the week, this could be a local top as bulls become exhausted.
Failure of a firm close above $400 may force a retracement back to $280-$300 in a retest.
Chart courtesy of Trading View
Disclaimer: Views and opinions expressed are those of the author. This is not investment advice. Do your research.