During the previous intraday session, Ethereum dropped below $2,200 for the first time in five days. It dropped to a low of $2,168 before a rebound. After finding support, the asset continued forward as news of the impending acceptance of the Bitcoin ETF made waves. Due to this, it broke out from its previous trend of exchanging below $2,300.
Many rejoiced that the asset finally broke its previous trend and may flip more resistance onward. However, trading conditions at the time of writing are proving this assertion wrong. It is worth noting that the apex altcoin gained almost 5% yesterday as it peaked at $2,360. Currently, it is down by almost 3% and back below $2,300.
Exchanging at $2,263, questions of next price action hang in the air. Nonetheless, it is important to recall the role of fundamentals in the previous day’s gains. The anticipation of Bitcoin ETF approval had many traders buying so they do not miss out on profit. Rumors also have it that the SEC and concerned authorities might reach a verdict on Wednesday. The outcome is sure to affect prices.
With many being optimistic about a positive result, most assets including ETH might resume their uptrend.
More Reasons to be Bullish
Since January started, ETH is yet to register any significant gains. The monthly chart shows a doji which means the apex altcoin has failed to hold prices around critical levels. While this is a concerning development, the monthly heatmap shows that the asset may see a turnaround.
The chart above shows that ETH is mostly bullish during the first month of the year. One of the most notable events took place in 2016 when it had its biggest gain. It surged by more than 136%. On the other hand, the biggest loss happened in 2022 when it lost 27%. Nonetheless, on average, it sees an increase of more than 31%.
With this in mind, ETH may see more increases in the coming days. Let’s see the key levels to watch.
