Ethereum price prediction as ETH tests key resistance at $2,150
Ethereum is trading above $2,090 after a pivotal move saw bulls challenge the $2,150 resistance level.
The altcoin rose to near the key level in early trading on Friday amid renewed market optimism and increased social chatter around BlackRock’s launch of its Staked Ethereum ETF.
Bulls also benefited from Bitcoin's uptick to $72,000.
While analysts anticipate a potential breakout, they warn that bears remain resolute and a pullback could drive ETH lower.
Ethereum records $72 million in ETF net inflows
Ethereum spot ETFs have witnessed three consecutive days of net inflows and attracted more than $72 million on Thursday.
Data from SoSoValue indicates that the inflows increased as the week progressed, rising from $57 million on Wednesday.
Analysts say this signals robust investor confidence despite recent market volatility.
Notably, the surge in positive flows coincides with BlackRock's launch of its staked Ethereum ETF under the ticker ETHB.
The ETF offers investors direct exposure to ETH alongside staking rewards at a competitive fee structure, and experts opine that blending spot Ethereum holdings with yield-generating staking could be a game-changer for ETH.
BlackRock has attracted significant institutional demand for its Bitcoin and Ethereum ETFs IBIT and ETHA, respectively.
The debut of ETHB on NASDAQ could accelerate mainstream integration of Ethereum, as traditional finance players seek diversified crypto exposure with passive income streams.
This is not just about bolstering network security, but also increasing institutional participation.
Bloomberg ETF analyst James Seyffart highlighted ETHB's debut as a "very, very solid for a day 1 ETF launch."
Ethereum price prediction
ETH currently trades within a tight range as it tests the critical $2,150 resistance, with the uptick buoyed by Bitcoin's burst to highs of $72,000 despite the ongoing Iran conflict.
The altcoin has, in recent weeks, grappled with bearish pressure around $2,000, and today's uptick sees bulls edge towards the resistance line of a parallel channel.
ETH is also near the 50-day SMA, with prices up amid a neutral-to-bullish outlook on the daily chart.
RSI hovers at 66, and while it currently indicates imminent overbought conditions, it's not yet overextended.
After prices bounced off deeply oversold conditions in early March, the MACD has also flipped bullish.
On-chain metrics reinforce optimism, with funding rates turning positive and open interest climbing to over $28 billion.
If bulls manage a decisive close above $2,150, they could eye the sell-off cluster around $2,252-$2,359.
Further short-term recovery could bring the 100 SMA into play as the next target.
On the flip side, rejection at the resistance level could catalyze a pullback to $1,940.
CryptoQuant analysts said in a post on X that the cryptocurrency's price could drop to $1,500 if the downturn continues. This negative sentiment could sour further if BTC fails to rally above $70k.
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