Is the Ethereum Price Rise Due to the Infini Hack? Will the Bullish Momentum Fade Soon?
Market volatility is expected to increase at the end of the month; however, the rise in volatility strengthens the bears. Bitcoin fell by $96,000 again, but the broader market continued to remain stable as Ethereum showed strength. The second largest token lasted $2,700, showing unconventional prices for Bitcoin. Therefore, the current trade setup favors the bulls, aiming to recover local highs at $3,000.
In the middle of rising bullish sentiment, the current rise could turn into a short-term rise, which could bother the Bulls. In a recent update, the new crypto-focused bank Infini has been reportedly subject to exploitation worth more than $49.5 million. These stolen funds are exchanged for DAI and used to purchase ETH, which increases the pressure on tokens.
https://twitter.com/lookonchain/status/18938696666717585756
result, ETH price Expanded to more than $2,840 in growth and triggered well-known sales pressure. Currently, with the increase in upward pressure, prices are working hard to maintain above $2,700, which may be due to the multi-million ETH sold by Binance, the Volkswagen exchange.
While the underlying reason for the dump is not yet known, some people feel it is a traditional Monday-Sunday swing, which is green all the way later in the week. At the same time, it is also speculated that it is a marketing strategy, which may be part of a larger strategy. So, what is the next step in the ETH price rally – a brief squeeze or a sustained downward trend?
Ethereum (ETH) price analysis
Ethereum prices are defending the rising support that has been supporting for the past five months. Over the past weekend, the price flew over the support zone, clearing resistance almost at $2,772. Meanwhile, the Bulls are dropping above $2,900 on maintaining momentum, currently resulting in less than $2,700. At present, the intentional buying pressure on Ethereum is disappearing, which may be the second largest token issue.
The figure above shows that the price has gradually disappeared because the price has failed to reach $2,900, as the price has printed a huge bearish candle. The CMF suddenly dropped below 0, suggesting a huge signal of market weakness. In addition, DMI’s +DI &-DI is about to conduct a bullish crossover, but it has deviated from each other. So ETH price is now close to the uptrend line near $2650, and without defense it could head towards a lower support zone between $2567 and $2541.
However, Ethereum prices are unlikely to test the support area, as rising support may provide strong bullish momentum to trigger a strong rebound with a loss of $2,772.