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Ethereum (ETH), the leading altcoin, has pulled off a massive rebound against Bitcoin (BTC), the flagship cryptocurrency. Notably, this comes as the ETH/BTC Relative Strength Index (RSI) stopped its three-year downward trend.
Ethereum Golden Cross on the Horizon
Ted Pillows, a market investor and entrepreneur, highlighted this in a post on X, suggesting it could signal an incoming rally for Ethereum.
For clarity, the ETH/BTC RSI indicates how Ethereum is performing in relation to Bitcoin. When the ratio is going up, it clearly indicates that Ethereum is gaining strength against Bitcoin. This is regardless of the price of both assets in dollar terms.
According to Pillows, currently, "ETH/BTC is pumping while Bitcoin is going down." This implies that Bitcoin is now falling more than Ethereum, and the ratio favors the leading altcoin. It could become a bullish signal for ETH as the momentum shifts to it.
Additionally, Pillows says that Ethereum will soon register a golden cross, where its short-term moving average will cross above the long-term moving average. The bullish technical signal likely supports further upward momentum for ETH.
The entrepreneur and investor is optimistic that this might mark the start of an altcoin bull run on the crypto market.
CoinMarketCap data indicate that Ethereum has gained 16.52% in price over the last seven days. This is higher than Bitcoin, which has managed 16.52% despite posting an all-time high (ATH) within the period.
Institutional boost and Ethereum price outlook
As U.Today reported, the sentiment of traders on the market over the coming days might play a role in pushing Ethereum up. The coin could head toward the $4,000 level after it breached the $3,000 resistance.
A crucial indicator is being able to hold support at this level. Once stability is established, new investors and late buyers who do not want to miss out might push the price upwards.
There is also growing institutional attention on Ethereum from BlackRock and SharpLink. These could support the asset’s journey to a new ATH.
Vladislav Sopov
U.Today Editorial Team