Top crypto assets including Bitcoin have experienced a price drop in the last 24 hours, but Ethereum has stood out.
According to market data on 29 May, the second largest cryptocurrency by market cap has gained 3.47% in the last 24 hours, which is significantly higher than the rest of the top assets.
What is driving the growth?
There are a few reasons why Ethereum seems to be gaining when most cryptocurrencies are in a downward move.
First, the Ethereum ETFs have recorded about $394 million worth of inflow in the last 8 days, which can directly affect the price positively.
The inflow also indicates that there is an increasing interest in Ethereum ETFs generally, which could be grounds for a sustained future rally.
Notably, the price reached a 3-month high of $2,780 today before dropping to $$2,731, and trading volume hit over $26 billion.
While uncertainty still looms around the market, some analysts believe Ethereum will still go higher, and $3,000 is the next price target, judging from the current trend.
Supported by data
Optimism around Ethereum and its potential to go higher isn’t only based on casual observations but instead it is supported by data.
The relative strength index which shows the relative strength of an asset’s potential to rally or drop also shows that Ethereum could see higher prices.
Even though the RSI is at 71 which is on the high side, it is still in the positive area, indicating room for some more upward movement according to this crypto analyst.
There’s also an indication that a general altcoin rally may be getting ready to take off. If this happens, Ethereum is likely to lead the rally as it has already shown strength.
However, it is difficult to tell what can happen in the long term, as the market can be highly unpredictable.
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