It traded to a new multi-week high at $3,190 before there was a downside correction. The price traded below the $3,000 support zone. There was a break below the 23.6% Fib retracement level of the recent surge from the $2,725 swing low to $3,190 high.
Besides, there was a break below a key bullish trend line with support near $2,980 on the hourly chart of ETH/USD. Ether is now trading above $2,900 and the 100 hourly simple moving average.
It is finding bids near the 50% Fib retracement level of the recent surge from the $2,725 swing low to $3,190 high. On the upside, an immediate resistance is near the $3,000 level. The next key resistance is near the $3,050 level.
A clear break and close above the $3,000 and $3,050 resistance levels might start another increase. In the stated case, the price could rally above $3,200. The next stop for the bulls may possibly be near the $3,400 level.
Dips Limited in ETH?
If ethereum fails to continue higher above the $3,000 and $3,050 resistance levels, it could start an extended downside correction. An immediate support on the downside is near the $2,900 level.
The next major support is near the $2,840 level. It is near the 76.4% Fib retracement level of the recent surge from the $2,725 swing low to $3,190 high. Any more losses could lead the price towards the $2,740 support zone.
Hourly MACD – The MACD for ETH/USD is slowly losing pace in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
The overall feel across the cryptocurrency landscape over the past week has been one of bubbling anticipation, with the Ethereum network finally undergoing its London hard fork, which includes reforms to the transaction fee market, thanks to EIP-1559.
On Eth2, tokenholders who hold at least 32 Ether (ETH) can operate a validator node and verify transactions on the network. With the current price of Ether trading near $2,700, that puts the entry cost of running an Eth2 validator node at $86,400 — a price too steep for most participants in the market.
To help combat this issue, several options — including staking pools and centralized exchange staking — have emerged to offer all Ether tokenholders the opportunity to earn a yield on their tokens.
Here’s a review of some of the top options currently available to Ether holders.
Another option available to Ether holders who wish to stake their tokens while also being able to access their equity is Lido, a liquid staking solution for Ethereum.
Liquid staking protocols allow users to earn staking rewards without locking assets or maintaining staking infrastructure.
Through the Lido platform, users can stake their Ether with no minimum deposit required, with a current APR of 5.4% after the staking rewards fee is deducted. In return for staked Ether, users receive stETH, which can be freely moved and traded at will.
According to data from DeFi Llama, Lido is currently the top-ranked Ethereum staking pool and the eleventh-largest decentralized finance (DeFi) protocol by total value locked, with $3.26 billion in value currently locked in the Lido protocol.
A proposal to list bETH (wrapped stETH on Terra) as collateral to @anchor_protocol has been submitted️
The liquid staking capabilities of Lido are currently in the process of expanding, thanks to an initiative in the Anchor protocol community to list bETH — a wrapped form of stETH on the Terra blockchain — as a form of collateral on the Anchor platform, which will allow Anchor users to borrow TerraUSD (UST) against their staked Ether collateral as well as earn liquidity mining rewards.
StakeWise is an Eth2 staking service whose goal is to help users achieve the highest yield possible on their holdings through the combination of staking, yield farming, low fees and a unique tokenomic structure that enables compound staking.
We have just released an ETH2 rewards compounding interface
StakeWise users can now reinvest directly from the dashboard and boost their APY through monthly compounding.
Interested parties can deposit Ether into the StakeWise smart contract and, in return, receive sETH2, which is “staking ETH.” Rewards for the staked assets are paid out in rETH2, which is “reward ETH,” and both sETH2 and rETH2 can be exchanged at a one-to-one ratio for Ether.
These assets can also be transferred to any Ethereum wallet or exchanged for other tokens, allowing tokenholders to access the equity held in their staked Ether while also being able to earn staking rewards.
The StakeWise protocol enables anyone holding at least 0.001 ETH to participate in staking via StakeWise Pool, while larger tokenholders with at least 32 ETH can use StakeWise Solo, a noncustodial staking service where users provide the public part of their withdrawal key and blocks of 32 ETH for StakeWise to create and manage validators on their behalf.
The current APR offered for staking on the StakeWise protocol is 5.64%. There is a 10% commission for rewards generated through StakeWise Pool, while StakeWise Solo users are charged a fee of 10 Dai per validator per month.
For users who are not quite up to speed on the ins and outs of decentralized finance — or simply prefer the more traditional custodial route — some of the top centralized exchanges in the ecosystem have started offering Eth2 staking services to traders on their platforms.
The leading options currently available to users in the United States are Coinbase and Kraken, the number-two and number-four globally ranked cryptocurrency exchanges, respectively, according to 24-hour trading volume.
The main drawback for users who wish to stake their Ether using one of these options is that their stakes will be illiquid, meaning that they will be unable to trade their tokens or access the value contained within until the Eth2 network is fully launched.
Kraken currently offers an annual staking reward of 5% to 7%, depending on the rules of the Ethereum protocol, and charges a 15% administrative fee on all rewards received.
We hit 800,000 ETH 2.0 staked on Kraken!
That’s over $1.8 Billion in $ETH securing the Beacon Chain
Since launch we’ve distributed over 25,300 ETH ($58 Million) in total rewards generated by our clients staking ETH 2.0.
The current APR offered by Coinbase is 5%, after a 25% commission is deducted. While neither Kraken nor Coinbase offers any kind of insurance on staked Ether, Coinbase has promised to cover any losses that occur should its validator responsibilities not be met.
Overall, the top staking options available to Ether holders offer an APR range of 5% to 7% and charge a minimum commission fee of between 10% and 25%. When compared with the sub-1% savings rate offered by most banks on a rapidly inflating dollar supply that loses more value by the day, Ether staking could soon become the preferred savings account and a source of passive income for cryptocurrency proponents.
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The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
Beginning August 16, the company will trade on the New York Stock Exchange under the symbol “ETD” and will no longer use “ETH.”
Ethan Allen said using the letter “D” stands for design, which better reflects the company’s focus. It also noted some traders were getting confused with the cryptocurrency.
“We also believe this change will better differentiate Ethan Allen news from ethereum news in search results, as ethereum is often abbreviated as ETH,” said Ethan Allen(ETH) CEO Farooq Kathwari.
Ethereum, or ether for short, is the world’s second-most valuable cryptocurrency after bitcoin. Ether’s value has soared some 275% so far this year — even more than bitcoin — thanks to growing interest in non-fungible tokens and increased adoption of cryptos generally.
Ether is the currency of choice used to purchase non-fungible tokens, or NFTs, the digital assets that have become increasingly popular in the art and sports collectibles world.
Meanwhile, Ethan Allen’s shares have jumped 20% this year because of strong sales.
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Ethereum is about to see a network adjustment that will introduce a new base fee feature on the blockchain.
EIP-1559 will change the way that transactions get processed on the network with added certainty.
A model estimates that around 1,000 ETH would be issued per day, while 6,000 tokens would be burned.
The second-largest blockchain network in the world, Ethereum, is expecting to witness its London hard fork on August 4 that would change the way that transactions are processed. Its native token, Ether, would also see a reduction in supply, which could see a spike in ETH price.
EIP-1559 will change the supply of Ether
One of the newest Ethereum Improvement Proposals (EIPs) will aim to change the fee market mechanism of the blockchain. EIP-1559 will remove the first-price auction as the main gas fee calculation, where users typically bid a dedicated amount of money to pay for their transaction to be processed on the Ethereum blockchain.
Currently, users who create transfers or transactions on the Ethereum blockchain pay a gas fee in ETH for miners to process their transactions without knowing the exact price to pay beforehand.
In order to make sure the transaction gets processed, some users may overpay to ensure the transfer goes ahead smoothly. Other users face the uncertainty of whether the transaction will get processed in a timely fashion.
The EIP-1559 changes the method by which transactions are processed on the blockchain by enabling clear pricing on a base transaction fee paid to miners in Ether to validate the transfers. A small amount of the tokens will be burnt and taken out of the circulating supply permanently.
Users may also choose to include an optional tip, a “priority fee,” along with their base fee to incentivize miners for a quicker process if desired.
With a more predictable base fee, EIP-1559 may introduce a reduction in gas prices if the current method assumes that users will overpay fees less in the future with the introduction of the new proposal.
The base fee will increase or decrease by up to 12.5%, depending on how much demand surpasses the ideal gas limit per block. Taking a look at how much the base fee is, Ethereum users will then have the knowledge of how congested the network is.
Miners’ income will be impacted by the burning of the base fee. However, they can still earn from the tips and block rewards.
Similar to the Bitcoin halving event that has boosted BTC price, EIP-1559 would introduce a reduced supply of Ether.
Following Ethereum’s move to proof-of-stake, Justin Drake’s model estimates that around 1,000 ETH would be issued per day, and around 6,000 ETH would be burned in the same period.
Therefore, the suggested annual supply change of Ether would be roughly negative 1.6 million ETH, with a reduction of the annual supply rate by 1.4%.
The more transactions that occur on the Ethereum network, the more deflationary pressure ETH will face, given the burning of the base fee.
Andrew Keys, managing partner at DARMA Capital, suggests that the EIP-1559 adjustment and the upcoming upgrade expected in Q1 2022 could “easily quintuple the price of Ether” next year.
Ethereum hangs onto the 100-day SMA, unwilling to pull back
Ethereum price has seen a remarkable run since July 20, printing 13 consecutive green candles. ETH has lost its momentum currently and is resting on the 100-day Simple Moving Average (SMA) as support.
Although Ethereum price appears to be retracing after its recent rally, the second-largest cryptocurrency by market capitalization has ample support should selling pressure spike.
The 78.6% Fibonacci extension level at $2,492 acts as the first line of defense for Ethereum price, then the 61.8% Fibonacci extension level at $2,333, and then $2,165, of which the diagonal trend line, 50-day SMA and 200-day SMA meet.
ETH/USDT daily chart
However, slicing below $2,165 could spell trouble for the bulls, as ETH could fall into the demand zone, which extends from $1,969 to $2,108.
Should the buyers be able to lift prices higher against the sellers, Ethereum price would need to break above the breakout line given by the Momentum Reversal Indicator (MRI) at $2,696 before making a move to the upside.
If Ethereum price manages to close above the 100-day SMA and the 78.2% Fibonacci extension level, bullish investors could aim for $2,847, which marked the June 7 high, and the 127.2% Fibonacci extension level at $2,955 next.
Bitcoin (BTC) dropped back below $39,000 on Aug. 2, suggesting that short-term traders were booking profits after the price failed to close above $42,451.67.
However, lower levels could again attract buying as seen in late July. Data from Santiment showed that Bitcoin held on wallet addresses storing between 100 and 10,000 Bitcoin rose to a new all-time high at 9.23 million Bitcoin on Aug. 1. The previous all-time high for this group of investors was recorded on April 5, just over a week before Bitcoin hit an all-time high of $64,854 on April 14.
Santiment highlighted that the “addresses have accumulated approximately 170,000 more Bitcoin” in the last four weeks. A similar pace of purchase was seen in late December 2020, just before the start of the strong bull move in 2021.
CoinShares data showed that the assets under management in Bitcoin-focused funds dropped by $20 million last week, its fourth successive weekly decline. Over the past month, Bitcoin funds have witnessed cumulative outflows of $67.8 million.
The data was not all bearish because multi-asset funds attracted cumulative inflows of $7.5 million last week and $11.9 million over the past month.
Could Bitcoin break out of its range and lead the crypto markets higher? Let’s study the charts of the top-10 cryptocurrencies to find out.
Bitcoin peeked above the overhead resistance at $42,451.67 on Aug. 1 but the bulls could not sustain the higher levels. This shows that bears are attempting to keep the range-bound action intact.
The upsloping 20-day exponential moving average ($36,968) and the relative strength index (RSI) above 62 suggest that the sentiment is positive. If the price rebounds off the 20-day EMA, the bulls will again try to push and sustain the price above $42,451.67.
If they succeed, it will signal the start of a new uptrend. The first target on the upside will be a move to the overhead resistance zone at $50,000 to $51,500 where bears may again mount a stiff resistance.
This bullish view will invalidate if the price turns down from the current level and breaks below the $36,670 support. That will indicate that the BTC/USDT pair could extend its consolidation between $28,805 and $42,599 for a few more days.
Ether (ETH) broke above the downtrend line on July 31, invalidating the descending triangle pattern. The bears sold at higher levels on Aug.1 as seen from the long wick on the day’s candlestick but the positive sign is that bulls did not allow the price to drop below the downtrend line.
The upsloping 20-day EMA ($2,273) and the RSI in the overbought territory indicate that bulls are in control. The ETH/USDT pair could now rally to the psychological level at $3,000 where the bears may again mount a stiff resistance.
Contrary to this assumption, if the bears pull the price back below the 20-day EMA, it may trap the aggressive bulls. This could result in long liquidation, which may sink the pair to $2,000 and then to the critical support at $1,728.74.
Binance Coin (BNB) rose above the overhead resistance at $340 on Aug. 1 but the long wick on the day’s candlestick suggests that bears are attempting to defend this level.
Although the price dipped back below $340 on Aug. 1, the positive sign is that the bulls have not given up much ground. If the price consolidates between the moving averages and $340, it will improve the prospects of a break above $340.
If that happens, the BNB/USDT pair will complete a bullish ascending triangle pattern. This setup has a target objective at $454.58 but the climb may not be easy because the bears will erect roadblocks at $380 and then again at $433.
On the downside, if bears sink the price below the moving averages, the pair could drop to the trendline. This is an important support to watch out for because if it cracks, the next stop could be $211.70.
Cardano (ADA) rose above the downtrend line on Aug. 1 but the long wick on the day’s candlestick suggests that bears are defending the resistance aggressively.
The marginally rising 20-day EMA ($1.27) and the RSI above 56 suggest that bulls have a slight advantage. If buyers can push and sustain the price above the downtrend line, it will invalidate the descending triangle pattern.
The ADA/USDT pair could then rise to $1.50 where the bears may again pose a stiff challenge. If buyers can overcome this resistance, the pair could start its journey toward $1.94.
This positive view will be negated if the price turns down and plummets below $1.20. That could open the doors for a further slide to $1.14 and then $1.
XRP has been consolidating near the overhead resistance at $0.75 for the past few days, which suggests that bulls are not booking profits as they anticipate the relief rally to extend further.
The moving averages have completed a bullish crossover and the RSI is above 63, suggesting the path of least resistance is to the upside. If buyers drive and sustain the price above $0.75, the XRP/USDT pair will complete a double bottom pattern, which has a target objective at $1.
If bulls fail to sustain the price above $0.75, short-term traders may close their positions. That could drag the pair down to the moving averages. A break below this support will suggest that the pair may extend its stay inside the $0.50 to $0.75 range for a few more days.
Dogecoin (DOGE) has been consolidating near the overhead resistance at $0.21 for the past few days. This suggests a state of uncertainty among the bulls and bears.
The flat 20-day EMA ($0.20) and the RSI near the midpoint indicate a balance between supply and demand. Usually, a tight consolidation near the stiff resistance resolves to the upside. If buyers thrust the price above the $0.21 to 50-day simple moving average ($0.22) resistance zone, the DOGE/USDT pair could rise to $0.28 and then to $0.33.
On the contrary, if bulls fail to clear the overhead hurdle, it could attract profit-booking. The pair could then gradually slide down to the critical support at $0.15. A bounce off this level may keep the pair range-bound between $0.15 and $0.21 for some more time.
The $16.93 level had acted as a stiff resistance between June 22 to July 8 but the bulls propelled Polkadot (DOT) above it on Aug. 1, which is a positive sign.
The moving averages are on the verge of a bullish crossover and the RSI is just below the overbought territory, suggesting that buyers have the upper hand. If bulls flip $16.93 to support, the DOT/USDT pair may continue its journey to $26.50.
On the other hand, if the bears pull the price below $16.93, the pair could drop to the 20-day EMA ($15.21), which may act as a support. If the price rebounds off this level, the buyers will again attempt to resume the relief rally. A break and close below the 20-day EMA could result in a retest of $13.
The long wick on Uniswap’s (UNI) candlestick on Aug. 1 suggests that bears are defending the overhead resistance at $23.45, but the positive sign is that bulls have not given up much ground.
The moving averages have completed a bullish crossover and the RSI is close to the overbought zone, indicating that buyers have the upper hand. A break above $23.45 will clear the path for a possible rally to $30.
If the price again turns down from the overhead resistance, the UNI/USDT pair is likely to find support at the 20-day EMA ($19.55). If the price rebounds off this support, it will improve the prospects of a break above $23.45.
Conversely, if the price turns down and breaks below the moving averages, it will suggest that the range-bound action may continue for a few more days.
Bitcoin Cash (BCH) has been trading between the 50-day SMA ($498) and the overhead resistance at $546.83 for the past four days. A tight consolidation near a stiff resistance suggests that buyers are not closing their positions as they anticipate a move higher.
If bulls sustain the price above $546.83, the BCH/USDT pair will complete a double bottom pattern. This bullish reversal setup has a target objective at $710.13. The moving averages are on the verge of a bullish crossover and the RSI is in the positive zone, which suggests that the path of least resistance is to the upside.
This bullish view will be invalidated if the price turns down from the current level and breaks below the moving averages. Such a move will suggest that the pair could extend its range-bound action between $383.53 and $546.83 for a few more days.
The bulls pushed Chainlink (LINK) above the overhead resistance at $22.07 on July 30 but the bears are not allowing the buyers to have a runaway rally.
The bears are attempting to pull the price back below $22.07 but the bulls have held the support for the past three days. The moving averages have completed a bullish crossover and the RSI is near the overbought territory, indicating that buyers have the upper hand.
If bulls drive the price above $24, the LINK/USDT pair could rise to $26.48. A break above this resistance could clear the path for a possible rally to $32.
Alternatively, if the price breaks below $22.07, the pair could drop to the 20-day EMA ($19.17). A strong rebound off this support will suggest that sentiment remains positive as traders are buying on dips. The bears will have to sink the price below the moving averages to gain the upper hand.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.
The value of Ether (ETH) jumped to a three-week excessive on Monday, triggered by related features within the Bitcoin (BTC) market that appeared within the wake of rumors about Amazon’s foray into the cryptocurrency sector.
A job posting from the retail big confirmed that it’s in search of an govt to construct its “digital foreign money and blockchain technique.” In the meantime, world media reviews have been speculating, primarily based on inside sources that Amazon would start accepting Bitcoin as funds. Consequently, the BTC/USD alternate fee surged to its six-week excessive after the information.
Ether, whose 30-day correlation with Bitcoin stands at 88%, surged likewise on Amazon’s crypto integration rumor. On Monday, the ETH/USD alternate fee soared to an intraday excessive of $2,390, reaching its highest stage since July 8. The pair was up greater than 6.7% as of 12:20 GMT.
Nonetheless, measuring from its earlier backside of $1,720 on Tuesday, the web upside rebound got here out to be 38.94%. The retracement appeared strikingly much like the bullish value motion between June 22 and July 7, whereby ETH/USD rebounded by more than 40% after bottoming out at $1,700.
That stated, Ether bottomed out twice close to the $1,700 vary earlier than rebounding increased by 38%–40%. Analyst Jonny Moe noticed that mirrored retracements transfer and dominated them out as a double backside sample.
The bullish setup
Intimately, double bottoms are bullish pattern reversal patterns, consisting of two troughs across the similar stage hanging by a neckline resistance. Because it performs out, the worth ultimately flips the neckline resistance as assist and rallies increased by as a lot as the utmost sample’s peak.
Ether matches the outline. It has fashioned two consecutive backside ranges at round $1,700. In the meantime, its neckline resistance is close to $2,390. Subsequently, the utmost sample’s peak is $690.
Ought to the ETH/USD fee break above the $2,390 neckline resistance, accompanied by a spike in quantity, the pair can be anticipated to increase its upside transfer by roughly $690. That might roughly take it towards $3,000 (with $2,948 serving as a psychological bullish goal primarily based on historic value motion).
One other technical sample in play outdoes the double backside setup’s upside goal by predicting Ether costs at close to $3,250.
Dubbed as a falling wedge, the sample develops when the worth trades decrease inside a spread that begins huge however contracts through the downtrend. It will definitely prompts the worth to interrupt bullish whereas establishing its revenue goal at a stage located usually above the wedge peak (if measured from the breakout level).
So, it seems, the ETH/USD alternate fee is present process a bullish breakout confirmed by a high-volumed shut above the wedge resistance trendline. The profit-taking goal for the present setup is $1,208 above the breakout stage, which places the worth en path to $3,257.
The views and opinions expressed listed below are solely these of the creator and don’t essentially mirror the views of Cointelegraph.com. Each funding and buying and selling transfer includes danger, it is best to conduct your personal analysis when making a choice.