Ethereum testing Fibonacci 50.0% levels
Looking at the chart on the four-hour time frame, we see that when we set the Fibonacci retracement level, Ethereum tests 50.0% to $ 1665, and the moving averages MA200 and EMA200, which determine the longer-term trend. To continue the bullish trend, we need a break above the other moving averages MA20, EMA20, and MA50. We already had a jump above the Fibonacci level of 78.6%, which gives us a sign that Ethereum has pretensions to continue towards higher levels on the chart. If we look at the previous lows, we see that they formed the pattern Head and Sholders, an additional sign for us to continue the bullish trend.
Looking at the chart on a daily, basis the trend is in a slight pullback with oscillations around moving averages MA20, EMA20, and MA50, but MA50 is good Ethereum support for now, and we should wait a bit for a better sign on the chart if we want a safer signal for a potential trend.
IntoTheBlock’s Cost-of-Price (IOMAP) Money, Input / Output model also shows nearly 700 addresses holding about 2.45 million ETH here. Therefore, investors in this area can absorb any short-term sales pressure. By reducing Ether’s daily price action, key indicators highlight the remarkable growth that is happening in the Ethereum blockchain.
Ethereum fees – which make up the total dollar value spent on using the Ethereum blockchain – are at record levels, projecting over $ 8 billion in annual fees. In comparison, the annual fee for Bitcoin is currently around 2.3 billion dollars. This contrast highlights the growing usefulness of Ethereum and the reason why it is often called digital oil.
Although Ethereum generates significantly more fees than bitcoin, it is still part of its market capitalization. Most will argue that this is because Bitcoin is the first cryptocurrency and its acceptance as a storehouse of value, in part because of institutional adoption.
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