With the market sentiment on the rise, the top cryptocurrencies, Bitcoin and Ethereum, are showing remarkable strength. Despite the bullish divergence, the tokens have been in a bearish trend for some time.
This suggests that Ethereum price could fall back to $2,000 as buyers are showing weakness, unable to lift the level above $2,700.
However, the latest surge has revived hopes of reclaiming the $3,000 level, which could pave the way for the uptrend to continue for the rest of the month.
The ETF flow overview remains fairly neutral, suggesting that the continued outflows are putting pressure on the token.
It took two weeks after the Spot BTC ETF was launched before BTC bottomed and started rising, which was absent during the ETH bull run.
In a broader perspective, ETH price seems to be compressed under the influence of the bearish trend.
However, the token has since pulled back to its last support level, setting the stage for another 4x to 5x rally in the coming days as traders now expect the price to surge to $3,000 or $3,500.
The recent surge has made traders optimistic about the upcoming move as they are now looking for targets at $3,000 or $3,500.
According to data from Santiment, Ethereum’s social dominance has spiked as traders show sudden excitement about a possible interim target of $3,000 or $3,500.
However, traders also expect BTC price to increase significantly to $70,000 to $75,000 when the token rebounds above $61,000.
Will Ethereum (ETH) Price Hit $3,000 This Week?
Ethereum price received a significant boost in yesterday’s trading, which reduced the chances of testing the support level at $2,000.
The bearish price action shows less participation, which is a worrying sign as they could be preparing for a larger price action, possibly at $3,000.
However, ETH price needs to rise above the temporary resistance level, which has acted as strong support for over 4 months.
After the recent recovery, the bulls have shown weakness since the beginning of the trading session as the price remains stuck below the temporary resistance at $2,682.
RSI has shown divergence after recovering from the lows but MACD shows decreasing selling volume.
Therefore, the possibility of further upside remains high but until buying pressure takes over, ETH price could remain consolidated between $2,600 and $2,800 for some time.
Therefore, hitting $3,000 this week could be a tedious task for Ethereum (ETH) price but an unexpected turn of events could turn things around for the token.
