Ethereum's price has surged significantly over the last day, increasing by 8% and surpassing the $2,600 mark. This article examines the reasons behind this rise and what the cryptocurrency may expect in the near future.
Main Reasons for Ethereum Price Surge
One of the key reasons for the price increase of Ethereum was the large purchase by Abraxas Capital. The investment firm acquired about 242,652 ETH worth approximately $561 million, leading to significant interest in the token. Most purchases were made at around $2,460, after which the price continued to rise.
Brief Analysis of Market Liquidations
Another contributing factor to the increase was the wave of market liquidations. Over $366 million was liquidated in total within a single day, indicating a significant number of trading positions on both the long and short sides. Most liquidation occurred on short positions, which supported the upward price movement.
Ethereum Price Predictions
Now that the price has crossed the $2,700 threshold, traders are starting to make predictions. If it holds above this level, possible targets lie between $2,850 and $2,950. However, if it falls below $2,550, it could lead to a temporary decline before another rise.
Considering the current trends, Ethereum's price is in a positive momentum, but the market's volatility should be taken into account. It is crucial to monitor key price levels, as further movements in Ethereum may become significant.
