The bulls re-take control of the market crypto for the short term. The price of Ethereum (ETH) again went to search for USD 250, the immediate resistance is more relevant. Each attempt makes it weaker, although it seems that soon it will cross, supported by the environment Defined by growing exponentially.
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Influence of DeFi in Ethereum
For many, the development and adoption of the finance decentralized (DeFi), is and will be the main catalyst for the increase in the price of Ethereum.
Ethereum is one of the crypto that best profits it has generated so far this year, and even helped the bigger one will look for the maximum recent.
A large part of this success is due to the high activity of your chain, mainly driven by the development DeFi. Remembering that they work on the Blockchain of Ethereum through contracts smart.
Top 15 altcoins organized by user activity Source: this program
The project DeFi doubled since the beginning of the year, while the price of Ethereum is still below its maximum by 2020.
New assets DeFi per month. Source: Evgeny Yurtaev, founder of Zerion DeFi
The number of users of the finance decentralized also reached its highest point during the course of the year. The foundations are well set for a healthy growth of this ecosystem.
The total value locked DeFi is equivalent to USD 1.580 million, and just 10 days ago it began rising parabolic of this figure.
Manager of the investment fund indicates that the finance decentralized, will boost the capitalization of ETH to the 1st trillion
Joseph Todaro, manager of the fund Block Town Capital, ensures that, as in 2017 the ICO promoted the capitalization of ETH to 100,000 million dollars, in the cycle that we are experiencing with the development Set, the next objective are the 1st billion dollars.
In 2017, the price of the Ethereum reached a maximum of USD 1,400. With a market capitalization of $ 1 trillion, as predicted by Joseph, the price will be more than USD 9,000. The current USD 250 are irrelevant if we take into account this prediction.
“In 2017, the ICO helped to carry ETH beyond $ 100 billion in market capitalization. In the next cycle, it is likely that DeFi help to push ETH $ 1 trillion market cap“. Comments via Teitter Joseph Todaro (@JosephTodaro_) June 16, 2020.
The fall of the winter crypto in 2018 was mainly caused by the explosion of the bubble of the ICOs, labeled as scams. However, in this new cycle, the growth of the capitalization will result in a much healthier manner, backed by a high activity in the network of the ETH, with a development that continues to grow.
Launch of Ethereum 2.0
In the short and medium term, there is still a barrier to relevant, that may be holding back the price of a revaluation exponential. From the technical point of view, is around USD 300.
However, there is a factor that could detonate an exhaust volatile to the upside, and that is the launch of the update of the network 2.0 ETH.
As not everything is pink, the great activity in the network of Ethereum, product development, DeFi, is causing congestion in the string.
As a solution, the update that likely reach this 2020, will increase the scalability of the same, together with the development and adoption of exponential that is living with the finance decentralized, will be the perfect scenario for a great positivity in the ecosystem, and the trigger to achieve over $ 300.
Technical analysis of the chart ETH/USDT
While this publication is written, the bulls have temporary control, after which they returned yesterday and started a transition to the upside in the short-term trend.
The barrier in the $ 250 is the most important one to overcome if shoppers want to generate a good profit, and this may be the attempt final. Generally, when the resistors are put to the test repeatedly, they lose strength, and end up being crossed.
After the gains yesterday, today the price pulls back, but soon could start the next upward momentum.
Moving averages EMA and 8 SMA 18 days are crossed in an ascending manner, and the SMA of 200 days is below the price.
The odds are set in favor of an escape to the highest of 2020, adjacent to the us $ 280.
As a comment, there is still a significant barrier to resume the bullish trend in the long term, and she is close to USD 300.
As you unfold the price, we will be updating the information. So we can predict with more accuracy if that level could be surpassed in the next few days or weeks.
Technical analysis of the price of Ethereum. Source: TradingView
All our publications are of an informative nature and in no case should be followed as the advice of investment.