The announcement by the Chicago Mercantile Exchange (CME Group) of the launch of the first-ever Ether futures product in February 2021 is provoking a bullish frenzy in Ether price action. The new CME Ether Futures are expected to be based on the CF Ether Dollar Reference rate and will provide cash settlement of trades.
Cryptocurrencies are seeing an unprecedented wave of institutional interest. The launch of Ethereum 2.0 and the rise of DeFi in the last one year have made Ethereum an attractive crypto for discerning investors. Bitcoin prices have just broken the $20,000 for the 2nd time ever in Wednesday’s trading, and this is also helping to spur buying interest in Ethereum.
Technical Levels to Watch
Today’s price move on the ETHUSD 4-hour chart shows that the pair met resistance at the 623.99 price area. The combination of static highs and progressively rising lows make for an ascending triangle, whose upper border is now at risk. A break targets the previous high of 7 May 2018, which was also touched on 1 December. Beyond this point, 657.64 is an additional target in a price sequence that is expected to hit new multi-year highs as the measured move looks for resolution close to the $800 mark.
On the other hand, rejection and pullback from current levels could allow a retest of the 597.90 support. A breakdown of the triangle’s lower border sends the pair towards 576.03 and 549.10, invalidating the triangle in the process.
Ethereum 4-Hour Chart