The price of Ethereum (ETH) continues to fluctuate, reaching a four-month high, but stable growth depends on overcoming a key resistance level.
Current Market Situation
On June 11, the price of ETH reached a four-month high of $2,880, but then corrected to the level of $2,550. Analysts note that key resistance is at $2,800, and for further growth, the price must consolidate above this level. Crypto analyst Daan Crypto Trades emphasized in his post that a close above $2,800 could lead to significant growth.
quote: "If we see a convincing break above $2,800 and hold there, that would be a good setup for a move to the cycle highs around $4,000." — CITE_W_A
Institutional Investments and Their Impact
The rapid influx of funds into Ethereum ETFs totals $861.3 million over the last two weeks, reflecting increasing interest from institutional investors. Additionally, the amount of ETH locked for staking reached a record high of over 35 million ETH, confirming investor confidence. As of June 16, the number of addresses with accumulated ETH also reached a high, holding 22.8 million ETH valued at approximately $58 billion in the hands of holders who are not selling their assets.
Technical Analysis and Forecasts
Technical data shows that ETH is stuck between key levels: the 200-day simple moving average (SMA) at $2,600, acting as resistance, and the 50-day SMA at $2,450, serving as support. Ethereum's success in reclaiming the 200-day SMA is crucial for confirming sustained growth towards $3,000. A breakthrough at the lower level could trigger a move towards $3,900.
Support from institutional investors and growth trends lay the groundwork for potential further increases in Ethereum's price. However, breaking through the $2,800 level will be a decisive factor contributing to sustained price increases.
