Ethereum price today: $2,413
- Ethereum price is trending towards the $2,395 support level due to strong 50-day SMA resistance.
- Vitalik Buterin could emerge as the winner of the Nobel Prize in economics based on his novel monetary innovation.
- Ethereum foreign exchange reserves are trending upward as selling pressure continues.
Ethereum (ETH) is trading at $2,413 on Wednesday as it tests support levels near $2,395. If Vitalik Buterin surprisingly emerges as the winner of the Nobel Prize in economics on October 14th, the current bearish outlook for prices could change significantly.
Market-moving daily digest: Ethereum could rise after hints that Vitalik Buterin could win the Nobel Prize in Economics
In a recent podcast for economics blog Marginal Revolution, economics professors Alex Tabarrok and Tyler Cowen announced that Ethereum co-founder Vitalik Buterin will be awarded the Nobel Prize in Economics ahead of the October 14 award announcement. hinted at winning the award. Both men emphasized Buterin's role in bringing about Ethereum. Blockchain has become a reality, and its native currency, Ether, has a market capitalization of over $290 billion at the time of writing.
“It's no exaggeration to say that Vitalik built a platform, created a currency, and in the process refuted Mises' regression theorem, clearly following in Satoshi's footsteps.” [Nakamoto]”He writes about financial economics, and no economist has more to say about the topics he writes about,” Cowen said. And that, to me, is very valuable in this consideration. ”
“You must have thought so too. [Bitcoin and Ethereum] “It would not have been possible if we had thought about it in advance, but it actually works in the real world,” Tabarrok added.
Although unlikely, if Vitalik wins on October 14th, the price of Ethereum could rise significantly.
Meanwhile, according to CryptoQuant data, Ethereum has recorded net foreign exchange inflows since October 5, and at the same time foreign exchange reserves are on the rise. This indicates that selling pressure is prevailing among investors and could continue to rise.
-638641036478149225.png)
Ethereum exchange reserves
A similar trend was seen with the ETH ETF, which recorded net outflows of $8.1 million on Tuesday, according to data from Pharcyde Investors. Unlike crypto exchanges, outflows to an ETF imply selling pressure, and vice versa for inflows.
Ethereum price prediction: ETH risk drops to $2,200 if major support is breached
Ethereum was trading near the psychological level of $2,400 on Wednesday, down just 1% after $16.64 million in derivatives liquidations, but Coinglass data shows 1,084 long and short liquidations in the past 24 hours. million and accounted for $5.8 million.
The top altcoins have been consolidating ever since bouncing off a major downtrend line on October 3rd. Buyers are finding it difficult to overcome the strong resistance near $2,490. This resistance is reinforced by and remains just above the 50-day simple moving average (SMA).
ETH/USDT daily chart
As a result, ETH is about to test the $2,395 support level of the major rectangle channel.
If there is a rebound from this level, ETH could rise above $2,490 and test resistance near $2,707. If ETH completes such a move, it will aim to regain the $2,817 level, which held as a major support for about four months after the April-July market consolidation.
However, if ETH fails to break above the $2,490 resistance, it could break through the $2,395 level and fall towards the support near $2,200.
The Relative Strength Index (RSI) and Awesome Oscillator Momentum Indicators are just below neutral levels of 50 and 0, respectively. At the same time, the stochastic oscillator is a few points away from the oversold region. This indicates that the bearish bias in the ETH market is slightly predominant.
This theory is invalidated if the daily candlestick close price falls below $2,200.
Ethereum FAQ
Ethereum is a decentralized open-source blockchain with smart contract capabilities. Its native currency, Ether (ETH), is the second largest cryptocurrency by market capitalization and number one among altcoins. The Ethereum network is tailored for building cryptographic solutions such as decentralized finance (DeFi), GameFi, non-fungible tokens (NFTs), and decentralized autonomous organizations (DAOs).
Ethereum is a public decentralized blockchain technology that allows developers to build and deploy functional applications without the need for a central authority. To facilitate this, the network leverages the Solidity programming language and the Ethereum virtual machine, allowing developers to create and launch applications with smart contract functionality.
A smart contract is a publicly verifiable piece of code that automates an agreement between two or more parties. Essentially, these codes self-execute the coded actions if a given condition is met.
Staking is the process of earning revenue from idle crypto assets by locking them in a cryptographic protocol for a specified period of time as a means of contributing to security. Ethereum transitioned from Proof of Work (PoW) to Proof of Stake (PoS) consensus mechanism on September 15, 2022 in an event dubbed “Merge”. This merger was an important part of Ethereum's roadmap to achieve high levels of scalability, decentralization, and security while maintaining sustainability. Unlike PoW, which requires the use of expensive hardware, PoS reduces the barrier to entry for validators by leveraging the use of cryptographic tokens as the core foundation of the consensus process.
Gas is a unit that measures the transaction fees users pay to conduct transactions on Ethereum. When the network is congested, gas can be very high and validators may prioritize transactions based on fees.
