Ethereum Bulls Charge Towards $3000

Ethereum bulls are trying to reach the $3000 psychological level amid strengthening anticipation of potential spot ETH ETFs approval by the Securities and Exchange Commission (SEC).

Such institutional players as Blackrock, Franklin Templeton and Fidelity are among the ETF providers who have already submitted their application to the SEC.

The current decision deadline is set for May 23rd.

• An approval might be seen as a major step towards mainstream adoption of Ethereum, potentially attracting new institutional investors. This could translate into ETH moving higher
   
• A postpone/rejection could be interpreted as a lack of regulatory confidence in Ethereum, potentially leading to selling pressure

However, the severity of the decline would depend on the various factors, including the reasons for rejection/postpone and overall market sentiment

A highly anticipated “Dencun” upgrade, scheduled for March 13th, 2024 may also have a strong effect on the Ether.

It aims to significantly improve the scalability, efficiency, and security of Ethereum’s network with the potential to slash its transaction costs by 50%-90%.

If successful, it may significantly increase the appeal among potential users and developers to the network.

On the technical side

• Trading above the key 21,50 and 100-period simple moving averages (SMAs) could suggest a strong bullish momentum
   
• However relative strength index (RSI) is in overbought territory at 82.56 (>70 – overbought, <30 – oversold), signaling a potential for a pushback
   
• To the upside the $3000 psychological level may be the prime target for the ETH bulls. Overcoming this resistance could signal a further bullish momentum
   
• To the downside the 2792.23 may offer support if the ETH bears regain the initiative