ETH trades above $2500 after spot BTC ETF launch

ETHUSD bulls are trying to stabilize above the $2500 support level following last week’s spike above $2700 as the markets celebrated the first-ever spot bitcoin ETF launch.

The successful launch of BTC ETF, with a >$4.3 billion funds attracted during the 1st trading day, have uplifted the whole crypto industry to a new level, including the second largest cryptocurrency – Ether.

The markets are already speculating on the potential for a new Ethereum backed ETF to be introduced in the future.

However, there are no significant milestones reached in that direction just yet.

Despite the uncertain potential for an actual ETH ETF to come to life any time soon, Ethereum is still playing a key role in the wider crypto ecosystem, acting as a base chain for many altcoins.

Other key catalysts such as tokenization of the real-world assets and continuously evolving tech may also affect the price down the road.

On the technical side…

• Current price positioning above the key SMAs (21,50 &100 – period) may signal for a continuation of the current bullish trend on a daily timeframe
   
• RSI’s (relative strength index) 61.88 value (>70 – overbought; <30 – oversold) underlines a potential for further growth
   
• While the $2500 psychological level may offer an immediate support to the ETHUSD bulls, $2700 may be their next potential target
   
• To the downside, a pull below the $2500 level may further push the price towards the 21 & 50-period SMAs