Ethereum Price Aims For $1,000 As ETH2 Deposit Contract Reaches 1.2 Million Coins

Ethereum price is currently hovering at $570 after a brief pullback from which the bulls managed to recover quickly. There are several on-chain metrics in favor of Ethereum, but the price hasn’t reacted just yet.

For Ethereum 2.0 to launch, the contract deposit needed to hold at least 542,288 by the 24th of November. Although the start was slow and only a handful of people deposited their Ethereum inside the contract, it quickly picked up the pace as 25% of the total ETH needed was deposited in 4 hours.

Although the initial amount was required for the contract to launch, it is not a limit and the deposit contract currently holds 1,214,465 Ethereum coins which are worth over $670 million at current prices.

These Ethereum coins will be locked inside the contract for years which means fewer investors are able to sell ETH, thus decreasing selling pressure. The current number represents more than 1% of the total supply of Ethereum and can continue growing in the future.

Ethereum Price Analysis: Technical Indicators

On the daily chart, Ethereum price dipped below the 12-EMA yesterday but has managed to defend the 26-EMA and it’s aiming to climb above the 12-EMA again. Despite the last sell-off, the overall trend remains bullish with a long-term trendline still in place.

ETH/USD daily chart – TradingView

It seems that the digital asset could fall as low as $440 and still defend the support trendline. However, bulls are more interested in simply defending the 26-EMA and climbing above $635 to avoid the potential of a double top forming.

ETH/USD weekly chart – TradingView

On the weekly chart, the 12-EMA is still well below the current price and bulls maintain control. The next potential resistance level would be at $840, a high formed in April 2018. Above that, the next significant price target is $1,000, a significant psychological resistance level.

Nonetheless, it seems that Ethereum price is facing very little resistance to the upside as the In/Out of the Money Around Price chart shows only one significant resistance area between $585 and $602 but practically no opposition above it.

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