Although Bitcoin has been stealing the spotlight as it hovers above $15,000, Ethereum has been keeping pace and has actually outperformed BTC so far this year. Analysts are calling for another big move up based on developing fundamentals.
The technical and fundamental outlook for Ethereum continues to strengthen as the asset recovers from a weekend dip and heads towards its 2020 peak once again. Since the beginning of 2020, Ethereum has gained more than 250% to date whereas Bitcoin has managed just 115% in comparison.
Many analysts who traditionally focus on Bitcoin are now turning to Ethereum. Josh Rager also noted the distances from their respective all-time highs;
“Let’s put this in perspective. BTC is currently only 26% away from its all-time high. ETH, on the other hand, is currently over 208% away from an all-time high price. Recently, ETH been outperformed by BTC but now looks quite bullish and has a lot of space to pump and catch up.”
Rager added that he is targeting a move up to the $700-$800 range, the next major resistance zone for ETH.
Added a big stack of ETH at the $442 support retest
I'm serious about not missing the eventual big move up to $700 to $800
Looking for a break of the previous range above
Will play this level by level with stops below my entry pic.twitter.com/bRk3omnpTM
— Josh Rager
(@Josh_Rager) November 8, 2020
Staking Approaches 10%
The catalyst for such a move is likely to be the launch of Phase 0, also known as Beacon Chain, which has been slated for December 1 should the amount staked reach the activating threshold.
Several trackers have been launched to monitor progress on staking to the ETH 2.0 deposit contract which was deployed last week:
As $ETH price picks up steam, I’m expecting the deposits to come in faster and faster.
Slowly… then all at once. https://t.co/HvptGw9SHG
— Loma (@LomahCrypto) November 9, 2020
Currently, there are just under 49,000 ETH staked according to the ETH 2.0 Launchpad, which is just over 9.3% of the total 524,288 required for genesis of the new blockchain.
With $22 million of ETH currently staked, analysts have suggested that this number will likely accelerate in December with the Phase 0 launch.
Now $22,000,000 of ETH has been staked in $ETH 2.0 deposit contract…
Expected staked amount to increase greatly on the 1st of December…
Scarcity increasing on exchanges and bears just seem so useless this year.
$600+ is my target before end of year.
— Cactus (@TheCryptoCactus) November 9, 2020
ETH Price Outlook
After posting a huge green weekly candle, ETH was trading at just over $450 during Monday morning trading. It failed to top its 2020 high of $480 over the weekend and slid back to $425 on Saturday, however, it has made a 6.5% recovery since then to start the week on a bullish note.
Resistance currently resides at that early September peak, but beyond that, prices could surge quickly to the next level of resistance which is around $550. Support looks fairly strong at $420, but things appear to be going in one direction for Ethereum at the moment.