- During the weekly trading session, the Ethereum price surged 21.20%.
- ETH price has given a breakout from a bullish flag pattern at $3063.6.
- The Ethereum price is currently outperforming the Bitcoin (BTC) price.
Ethereum (ETH) is one of the most popular cryptocurrencies in the world. It is an open-source, decentralized blockchain system that also works as a platform for many other cryptocurrencies.
In terms of market capitalization, the ETH crypto ranks second after Bitcoin (BTC) in the current phase and ranks third in trading volume. Additionally, the current ETH price has outperformed the BTC.
Will Ethereum Exceed the $4099 Mark?
In February 2024, the Ethereum price gained a noticeable bullish momentum due to the strong approach of investors. The crypto delivered 46.45% positive profitability that month and 9.09% in March 2024. However, the quick rise in price also created an imbalance in price, which resulted in fear among traders.
As a consequence, the price entered the correction phase in April 2024 and declined 17.39%. Conversely, the bulls had keen eyes on the correction phase. As soon as the correction ended, the buyers once again jumped in the current month, resulting in an over 25% hike in price.
Supply & Distribution of the Ethereum (ETH) Token
Ethereum has an uncapped maximum supply, and the total diluted valuation is estimated at around $454 Billion. The project has released over 120 Million ETH tokens, which are currently in circulation.
As per the token distribution, 83% of the ETH tokens are allocated to crowd sales, and the remaining 16.67% is reserved for the Foundation, early contributors and others. The Whales hold 28.83% of the circulation supply. Investors and retailers account for the remaining 71.17%.
Technical Analysis of the Ethereum (ETH/USD) Price
![Ethereum](https://themarketperiodical.com/wp-content/uploads/2024/05/image-394-1024x447-1.webp)
The bullish view implies above the key exponential moving averages (EMAs). Recently, the price has rebounded the 50-day EMA from below, indicating a strong bullish trend continuation.
The ETH price has given a breakout from a bullish flag pattern at $3063.6. The price reflected a 24% impulsive bullish move while breaking above the $3732.5 key level.
At present, the price is hovering above that key level. A bullish outlook can be expected above the $4099.2 resistance level as per the price action analysis.
Furthermore, the relative strength index (RSI) shows strong bullish momentum in the current phase. This shows the buyers are dominating the current ETH price. The RSI is upsloping at 69.96 above the SMA line.
Summary
The ETH price has given a breakout from a major correction phase that started on March 13, 2024. The cryptocurrency recorded a 24% bullish move after the May 18, 2024 breakout. At press time, the price hovered above the key level, reflecting a bullish outlook above the $4099.2 resistance level per the price action analysis.
Technical Levels
At the time of writing, the immediate resistance for ETH was $4099.2, while the $3381.5 level is the next support. An upsurge in price can be expected if the price passes the upper resistance level.
Disclaimer
The views and opinions stated by the author or any people named in this article are for informational purposes only. They do not establish financial, investment, or any other advice. Investing in or trading crypto or stock comes with a risk of financial loss.