The ETH/USD pair rose above the $190 mark on April 25 and has been trading in the trading range of $190- $197 for the third day. At the time of publication, the price of Ethereum is $193,04. Analysts believe that Ethereum has every chance to break above the psychological level of $200 in the coming days. The presence of the ETH/USD pair in the trading range suggests that the bulls build up strength to make a breakthrough.
However, to continue the uptrend, the ETH/USD pair also needs to stay above the $175 mark. Any correction of the ETH/USD pair can be regarded as insufficient strength of the uptrend. The closer the ETH/USD pair approaches the $175 mark, the fewer bulls will have strength.
If you look at the 4-hour chart of the ETH/USD pair, you can see that the pair forms an “rising wedge”. If the pattern is confirmed, then the ETH/USD pair may be corrected to the area of $165. If the pair ETH/USD rises above the upper border of the pattern, growth will continue. The pair can reach the mark of $206, however, after that, it can roll back up to the mark of $182. Such a conclusion can be made by analyzing the movement of the ETH/USD pair over the past month. The ETH/USD pair reaches higher highs, but then shows a rollback of about 12%. In the case of the level of $206, the 12% rollback is equal to the mark of $182.
The growing interest of institutional investors also speaks in favor of Ethereum growth. Recently, Grayscale, a digital asset management company, has acquired nearly half of Ethereum’s mined in 2020.