“ETH HIT $ 4,200 On Binance After Breaking $ 4,000 A Day Earlier, As Analysts Pointed to Liquidations and Potential Altcoin Rotation Amid Rising Sentiment.”, – WRITE: www.coindesk.com
The Move Followed Friday’s Breakout Above $ 4,000 for the FIRST TIME SINCE DECEMBER 2024, A Technical Milestone that Drew in Fresh Buying and Set the Stage for Sathoday’s Push Higher.
Miles Deutscher SAID THESE FORCED BUYBACKS HELPED Accelerate the Rally. In an Earlier Post, He Descripted An “On-Chain Wealth Effect”: As Eth’s Price Rises, Both Large Holders and Retail Investory Seeir Positions Turn Pro. Higher-Risk Tokens in Pursuit of Bigger Gains. This Dynamic, He Said, Can Amplify Rallies Beyond Eth ITSELF.
Deutscher ALSO MAPPED OUT A Three-Stage Market Rotration He Expects Could Take MONTHS TO UNFOLD: An Eth-Pel Mini Altcoin Season, A Rotration Into Bitcoin That Could That Could Could Could Could Could Btc Btc. Altcoins Lag, and Finally a Shift Back Into Eth and Smaller Tokens for A Potential “Bloowoff” Rally Marking The Cycle’s Peak.
Crypto Analyst Michaël Van de Poppe Called Saturday’s Push to $ 4,200 A “Wild Move” and Warned that Buying at Such Elevated Levels Carred Greater Risk. WHILE HE SEES ETH SETING UP FOR A BREAKOUT TOWARD ALL-TIME HIGHS, HE ARGUED THAT ALLOCATING CAPITAL TO PROjects Within the ETH ECOSYSTEM MIGHT DELIVER BETTER PERCENTAGE. He Also Said Earlier That Continued Eth Strength Could Set The Stage for Substantial Gains in Altcoins, Potentilly Rewarding Portfolios Positiored For a Broadeer Market Rotation.
Market Intelligence Platform Santiment Noted that Eth’s Climb Above $ 4,000 on Aug. 8 WAS The FIRST SINCE DEC. 16, 2024, and CAME WITH A Sharp Increase in Bullish Language from Retail Traders. Mention of Terms Like “Buying” and “Bullish” Roughly Doubbled Compared with “Selling” and “Bearish.” The FIRM CAUCTIFIDING OVERCONFIDENCE CANTIMETIMES LEAD TO SHORT-LIVED PAUSES EVEN DURING STRONG UPTRENDS.
Technical Analysis Highlights
- Account to Coindesk Research’s Technical Analysis Model, Between Aug. 8 at 07:00 UTC and AUG. 9 AT 06:00 UTC, ETH ROSE FROM $ 3,914.59 TO $ 4.160.29, A 6% GAIN, Trading Between $ 3.8885.03 and $ 4.194.53.
- The First Breakout Occurred at 13:00 UTC on Aug. 8, Pushing Prices Above $ 4,000 ON 646,459 ETH IN VOLUME, Nearly Triple The 24-HOUR AVERAGE OF 218,847 ETH.
- A Second Surge at 05:00 UTC On Aug. 9 Lifted Prices to the Session Peak of $ 4,194.53 On 714.461 Eth in Volume, Again More Than Triple the Daily Average.
- In the Final Hour (Aug. 9, 05: 19–06: 18 UTC), Eth Moved from $ 4,157.33 to $ 4,194.53 Before Retreating to $ 4,158.50, With $ 42.52 In InTradoy Swings.
- Buying Briefly Pushed Prices Above $ 4.190 Before Profit-Taking Set in, Establishing Support Between $ 4.155 and $ 4.160 $ 4,200 Level.
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