Ethereum Price Eyes $2,870 as Fear and Greed Index Spikes

Ethereum price remained steady on Monday morning as the fear and greed index rose. ETH price rose to $2,000, which was the highest level since June 2nd of this year. It has risen by more than 123% from the lowest level this year, bringing its total market cap to over $238 billion. 

Fear and greed index rises

Ethereum price has been in a strong bullish comeback in the past few weeks as investors focus on the improving sentiment in the market. For example, the closely watched CBOE Volatility Index (VIX) has crashed to the lowest point since April this year. This is a sign that investors are no longer as fearful as they were a few weeks ago. 

At the same time, American indices like the Dow Jones, Russell 2000, and the Nasdaq 100 index have all rebounded in the past few months. They have all moved to a bull market, meaning that they have risen by over 20% from their lowest level this year. 

Meanwhile, the fear and greed index, which CNN Money created, is on the verge of moving to the greed zone of 60. Nevertheless, it has managed to stage a strong rally in the past few months as investors focus on the potential actions by the Federal Reserve.

Ethereum price has also rallied as the transition from a proof-of-work platform into a proof-of-stake. The merge process is expected to take place in September of this year.

Ethereum price prediction

The daily chart shows that the ETH price has been in a strong bullish trend in the past few weeks. It managed to move above the important resistance point at $2,000. The coin rose above the 23.6% Fibonacci Retracement level and the 25-day and 50-day moving averages. At the same time, the Relative Strength Index (RSI) moved to the overbought level.

Therefore, the coin will likely keep rising as bulls target the 50% retracement level at $2,870. A drop below the support at $1,700 will invalidate the bullish view.

Ethereum price