{"id":118133,"date":"2020-11-23T13:00:00","date_gmt":"2020-11-23T10:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/3-reasons-ethereums-momentum-is-only-accelerating-as-eth-nears-600\/"},"modified":"2020-11-23T13:00:00","modified_gmt":"2020-11-23T10:00:00","slug":"3-reasons-ethereums-momentum-is-only-accelerating-as-eth-nears-600","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/3-reasons-ethereums-momentum-is-only-accelerating-as-eth-nears-600\/","title":{"rendered":"# 3 reasons Ethereum&#8217;s momentum is only accelerating as ETH nears $600"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3be6eb2a7b6\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3be6eb2a7b6\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/3-reasons-ethereums-momentum-is-only-accelerating-as-eth-nears-600\/#Eth2_momentum_accelerates_in_correlation_with_price\" >Eth2 momentum accelerates in correlation with price<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/3-reasons-ethereums-momentum-is-only-accelerating-as-eth-nears-600\/#High_time_frame_breakout\" >High time frame breakout<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/3-reasons-ethereums-momentum-is-only-accelerating-as-eth-nears-600\/#Fundamentals_are_backing_the_rally\" >Fundamentals are backing the rally<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># 3 reasons Ethereum&#8217;s momentum is only accelerating as ETH nears $600 <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>Alongside the high anticipation for Ethereum 2.0, the high time frame breakout and daily gas usage on Ethereum remain key positive factors.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Eth2_momentum_accelerates_in_correlation_with_price\"><\/span>Eth2 momentum accelerates in correlation with price<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The Eth2 mainnet will launch when the number of Ether (ETH) staked in the Eth2 deposit contract address hits 524,288.<\/p>\n<p>Data from CryptoQuant found that the value staked in the Eth2 deposit contract address is showing a correlation with the ETH price.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/caf10f84-6bab-4585-9fb4-1ae211745551.jpg\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>ETH price versus total value staked on eth2.0. Source: CryptoQuant<\/em><\/figcaption><\/figure>\n<p>Ki Young Ju, the CEO of CryptoQuant, noted that the correlation is seemingly growing as the launch date <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>roaches. He <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/ki_young_ju\/status\/1330749618922029058?s=20\">wrote<\/a>:<\/p>\n<blockquote><p>\u201cAs the ETH 2.0 launch date approaches, it seems to be a growing correlation between $ETH price.\u201d<\/p><\/blockquote>\n<p>This trend has been anticipated by analysts because of the significance of Eth2. When activated, Eth2 is expected to improve the transaction capacity of the Ethereum blockchain network.<\/p>\n<p>Since nearly $300 million worth of ETH would get deposited into the Eth2 deposit contract address, it could also decrease the selling pressure on ETH over the long term.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"High_time_frame_breakout\"><\/span>High time frame breakout<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The price of ETH broke above $500\u00a0for the first time since May 2018, breaking out from a two-year range. It has already risen above $580 since, demonstrating strong momentum and with little resistance above $620.<\/p>\n<p>If ETH surpasses $620, the next high time frame resistance levels are found at $784, $915 and $1,200.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/33608f3c-fd46-409d-930b-7fb397a8feef.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>ETH\/USD weekly chart. Source: TradingView.com<\/em><\/figcaption><\/figure>\n<p>Traders expect ETH to hit $620 in the short term and possibly consolidate under it until the next breakout occurs.<\/p>\n<p>A pseudonymous trader known as \u201cRookie\u201d <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/RookieXBT\/status\/1330718859591110659\">said<\/a> ETH could hit $620 in a matter of days, as it shows strong technical momentum.<\/p>\n<p>Although both Bitcoin (BTC) and ETH prices pulled back during the weekend, analysts say that TWAP algorithms could cause the momentum to resurge once again. Qiao Wang, a quant trader and analyst, <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/QwQiao\/status\/1330480293879361537\">wrote<\/a>:<\/p>\n<blockquote><p>\u201cThe reason why weekends exist is to shake out the weak hands before institutional buyers turn on their TWAP algos again on Monday.\u201d<\/p><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"Fundamentals_are_backing_the_rally\"><\/span>Fundamentals are backing the rally<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>According to on-chain data from Etherscan, the daily gas usage on Ethereum is hovering at an all-time high.<\/p>\n<p>The term \u201cgas\u201d refers to transaction fees on the Ethereum blockchain network. When gas usage is high,\u00a0 the on-chain user activity is rising.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/86f9d15c-9a5e-44f1-9701-6fc93d5b744a.jpeg\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>Ethereum daily gas usage. Source: Etherscan<\/em><\/figcaption><\/figure>\n<p>The increase in daily gas usage likely comes from two sources: deposits to the Eth2 address and growing number of decentralized finance, or DeFi, users.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener noreferrer\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/3-reasons-ethereum-s-momentum-is-only-accelerating-as-eth-nears-600\" target=\"_blank\" rel=\"noopener noreferrer\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# 3 reasons Ethereum&#8217;s momentum is only accelerating as ETH nears $600 &#8221; Alongside the high anticipation for Ethereum 2.0, the high time frame breakout and daily gas usage on Ethereum remain key positive factors. Eth2 momentum accelerates in correlation with price The Eth2 mainnet will launch when the number of Ether (ETH) staked in&#8230;<\/p>\n","protected":false},"author":1,"featured_media":118134,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/bff521af-a6ac-47b8-b2f0-360ad80712ad.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74891,75326,74938,74939,73785],"class_list":["post-118133","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-ethereum","tag-ethereum-2-0","tag-ethereum-price","tag-market-analysis","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/118133","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=118133"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/118133\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/118134"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=118133"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=118133"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=118133"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}