The weekend was expected to be a little volatile, but Bitcoin's slow movements caused other major altcoins to get stuck in certain areas. The token holds significant support, suggesting that the bulls are preparing for the next move. Meanwhile, Ethereum, the second largest cryptocurrency, is showing sharp strength as the bears have failed to push the levels below $3,100. Additionally, other altcoins are set to outperform Star Crypto in the coming days, thus showing strength.
Major altcoins like DeFi, NFTs, and some within the top 20 typically follow the rise in ETH price. When Ethereum shows strength against Bitcoin, these tokens will remain above the critical range. Therefore, this suggests that the altcoin is planning a bigger move as ETH/BTC rebounds from major support, which could pave the way for it to move closer to the “midrange.”
Throughout the 2022 bear market, the ETH/BTC pair remained within an average range with slight fluctuations. Moreover, when the cryptocurrency showed strength against USDT in Q4 2023, the currency pair faced a significant decline. The pair is currently trading within a narrow range, with the recent bounce off major support hinting at an uptrend pattern ahead. However, while the decline in trading volume may raise some concerns, RSI, which is trying hard to cause a rebound, could turn the tide for cryptocurrencies.
Meanwhile, ETH bulls are working hard to offset the bearish impact as the price remains sideways in the region. The MACD is slowly rising towards the bullish range, while the DMI remains neutral as all levels are parallel. Therefore, we expect ETH price to remain range-bound for some time, followed by a bullish breakout towards the upper resistance zone.
Market participants appear to remain hopeful about future trends as the bulls continue to maintain some dominance. If the ETH/BTC pair continues its uptrend and closes the weekly session on a bullish note, there is a chance that altcoins will outperform Bitcoin. This could be when a strong alt season begins and BTC price could stabilize within a narrow range for some time.
Also check: Bitcoin, Ethereum, XRP price prediction: Bullish rebound this week?
