The second-biggest cryptocurrency, Ethereum, has quietly surged beyond $4,000 to hit a record high set in November 2021. On Tuesday, ETH hit an intraday high of $4,093 before descending.
As of this writing, ETH had dropped 0.37% to $4,006 during the previous 24 hours. With the current exchange rate, ETH is 17.51% below its peak, which was reached in November 2021 at $4891.
While investors wait to see what Ethereum will do next, fans believe that ETH will hit its all-time high of $4,891 and then the $5,000 mark.
As resistance wanes, Ethereum’s route to $5,000 is more obvious, according to cryptocurrency expert Ali. But the trip may not be as easy as it appears since there is a crucial obstacle nearby.
https://x.com/ali_charts/status/1767198960794390992?s=20
One of the biggest challenges Ethereum will have as it moves closer to the $5,000 milestone is a supply zone that holds 1.63 million ETH. This barrier has drawn the attention of traders and experts because to its strategic placement in a crucial resistance zone, which poses a threat to Ethereum’s upward momentum.
Ali determined the resistance range to be between $4,522 and $4,646, which is the range where a significant portion of addresses store their Ethereum: In this range, 1.63 million ETH are held by 600,000 addresses.
The market’s reaction will be significant as Ethereum gets closer to this barrier. Ethereum might reach fresh all-time highs if a breakthrough starts a surge. It would take a significant amount of purchasing pressure to break through this supply zone, absorb the sell orders, and push Ethereum’s price over the resistance level.
But if purchasers are unable to get above this barrier, Ethereum’s price could find it difficult to continue rising, which might result in a period of consolidation or a decline in price.
The much anticipated Dencun upgrade, which promises to significantly reduce layer-2 transaction costs, is expected to arrive within the next 24 hours, which is fantastic news for the ETH network.
