Ethereum (ETH) is demonstrating signs of market recovery after a recent downturn, having surpassed the $2,500 mark.
Key Support Levels for Ethereum
CryptoQuant analyst, BlitzzTrading, presented data that supports a bullish outlook for Ethereum. The average acquisition price of tokens among different holder groups reveals key support levels.
As per the metrics, investors with wallets holding 100 and 1,000 ETH have an average cost basis of $2,225. Those holding between 1,000 and 10,000 ETH stand at $2,196, while holders of between 10,000 and 100,000 ETH have an average of $1,994.
Lastly, those with more than 100,000 ETH bought their tokens at an average cost basis of $1,222. This indicates that larger holders acquired their tokens at lower prices, supporting their profit margins and market confidence.
Ethereum Consolidation and Current Trends
Currently, the price of Ethereum stands at $2,551, marking a 3.7% decline over the past 24 hours. This drop is also reflected in the broader crypto market, where BTC, SOL, and DOGE have seen losses.
Since April 7, Ethereum's price has steadily risen, accumulating a 56.5% increase for the month; however, a correction began on May 10. The RSI currently at 69.14 indicates potential overbought territory, suggesting a need for consolidation or a pullback.
Prospects for Further Growth
Despite the current correction, key support levels are positioned at $2,225 and $2,196, and it is expected that after this correction, Ethereum's price will begin to rise again, aiming for resistance levels between $2,700 and $3,000.
Ethereum continues to exhibit signs of resilience in the market, suggesting potential for further growth following the current correction.
