Key Highlights
- Ethereum has surpassed a critical resistance level of $3,000 with 3% jump on a daily chart.
- The spike was seen after Ethereum’s co-founder, Vitalik Buterin, unveiled his plan for targeted scaling on the network
- As odds for Fed rate cuts in December rise, the cryptocurrency market is gradually gaining momentum.
After dipping below the crucial support level last week, Ethereum has finally surpassed the $3,000 mark, spreading euphoria in the community about its potential upward trajectory.
At the time of writing, Ether (ETH) is trading at around $3,021.09 with a 3% hike in the last 24 hours, according to CoinMarketCap. Its market capitalization is around $364.72 billion.
A crypto analyst on X, Merlijn The Trader, has shared his analysis, stating that Ethereum is currently repeating a classic wave pattern that has triggered price surges on three separate occasions in the past.
According to the technical analysis, this recurring pattern suggests ETH is on the verge of a major upward move. The analyst broke down the pattern into three distinct phases. The first phase will be marked as a kickoff of the new bullish cycle. This is followed by a second wave, which is described as a consolidation period designed to shake out uncertain investors, which is also known as “weak hands.”
In the third phase, it creates an impending third wave, which is historically where parabolic price increases begin to form.
Vitalik Buterin Proposes “Targeted Scaling” Plan as Fusaka Upgrade Nears
In the recent post on X, Vitalik Buterin has shared a roadmap for the Ethereum blockchain, where he highlighted his plan to move away from intense scaling efforts to take precise targeted optimization.
In a detailed social media post, Buterin proposed their efforts to increase the network’s gas limit to 5X. At the same time, he also revealed his plan to increase costs for computationally inefficient operations by the same margin.
This plan is expected to enhance the overall network’s capacity while cutting down activities that consume the network’s resources. This includes creating new data storage or executing complex smart contracts.
Next month, the Ethereum blockchain is going to get one of the major upgrades, known as the Fusaka upgrade, which is scheduled for December 2030. The hard fork will introduce enhanced data efficiency by increasing block capacity.
BitMine’s Institutional Investment Keeps Ethereum Price Up
On Monday, BitMine Immersion revealed the acquisition of additional Ethereum tokens.”BitMine has now acquired 3% of the Ethereum network. In the past week, BitMine acquired 69,822 ETH tokens. The Made in America Validator Network (MAVAN) will be the ‘best-in-class’ solution offering secure staking infrastructure and will be deployed in early calendar 2026,” Thomas “Tom” Lee of Fundstrat, Chairman of BitMine, stated in the official press release.
While the cryptocurrency market is going through catastrophic turbulence, which sparked after October 10, many investors are buying the dip to capitalize on its long-term price momentum.
“The continued decline in crypto prices in the past week reflects the impaired liquidity since October 10th, as well as price technicals, which remain weak. A few weeks ago, we noted the likely downside for ETH prices would be around $2,500 and current ETH prices are basically there. This implies asymmetric risk/reward as the downside is 5% to 7%, while the upside is the supercycle ahead for Ethereum,” Lee said.
After Trump announced a trade war against China on October 10, the cryptocurrency market has witnessed the biggest liquidation of its history, wiping out over $19 billion in investment from the crypto instantly. Due to this, major cryptocurrencies like Bitcoin, Ethereum, Solana, XRP, and BNB have plunged dramatically.
However, the crypto market has recovered slightly and is currently progressing to an upward trajectory as odds for a Federal rate cut in the upcoming meeting rise. However, the Fear & Greed Index is still showing extreme fear.
Source: https://www.cryptonewsz.com/ethereum-breaks-3000-odds-fed-rate-cut-rise/
