Ethereum (ETH) price is having a very volatile week as Bitcoin price battles one of the most critical resistances on its chart. ETH to USD price dropped to $1782 this week as BTC got rejected from the $30k level once again. However, the markets bounced back strongly as the volatility embraced the crypto markets.
Ethereum price is trading at $1916 today after rising by 0.43% on Friday. Other major digital assets are also showing a positive price action. ETH is still trading 10.8% below its YTD high of $2,146. In its BTC pairings, it is 8.43%, down from the monthly highs.
Bitcoin Dominance Surges Once Again
Bitcoin dominance (BTC.D) is the ratio of its market capitalization to the total market cap of cryptocurrencies. After dropping below 47% last week, the BTC dominance is once again surging. Consequently, the BTC market cap currently makes up 48.6% of the total crypto market cap. The increase in dominance shows that the capital is moving into Bitcoin from other digital assets like Ethereum.
Despite an increase in the past few days, Ethereum price is still lagging behind BTC. Since the start of the week, ETH has lost 3.49% against Bitcoin, which shows that investors are preferring BTC over ETH. The demand for Ethereum has decreased since the Shapella upgrade as the hype faded away.
Ethereum Price May Retest $2,000 Soon
As I kept mentioning in my previous articles, ETH to USD price surged above $2,000 this month but reversed from the $2,146 level. I expected this move to happen before the Shapella upgrade, but it happened a few days later. As long as BTC.D keeps increasing, ETH is likely to underperform Bitcoin.
Nevertheless, technical analysis shows that the Ethereum price prediction of $2,000 can become a reality once again. This is due to a recent bounce from major support. If the ongoing rally continues, a possible target could be $2030, where lies the next major resistance on the daily chart.
I’ll keep posting my updated analysis on Ethereum & other cryptocurrencies in my free Telegram group that you’re welcome to join.
