Ethereum Price has increased 58.27% within a month as we are writing this article. That’s an increase of more than 50% within a month! What a recovery especially when considering that it actually increased 34.92% within the last 7 days.
But this increase could be a modest increase compared to what might be in store next. These are the reasons investors might want to keep an eye on Ethereum’s price development within the next 48 hours:
- Ethereum’s Price increase in August 2017 is supported by an All-time high in the number of transactions as explained in the article.
- Ethereum’s Price today looks like it’s heading towards an important resistance level. The level in question is $325 and was identified among important Ethereum price levels to watch in August. If this resistance level is broken, it will be very bullish for Ethereum’s price.
Why is the $325 level important for Ethereum price?
The $325 level on the chart is important from a price analysis perspective. The price is also reaching this level in a period when transactions are in an all-time high level as well. As mentioned, if the price break this resistance, it will rise significantly. But there is always the possibility that traders might decide to lock in their profits causing a price pull back. Should the 2nd scenario happen, investors need to keep in mind Ethereum’s rising intrinsic value.
In 2017, more governments, companies and investors just started understanding or believing in Ethereum’s disruptive potential and announcing their intention to “explore” the options its Network provides. We are already seeing record numbers transaction wise and most of these new adopters are still testing the waters. So It will be very interesting to see when they actually start using the newly built technology on a larger scale. That’s when a massive intrinsic value increase will happen and obviously reflect on Ethereum’s price.
To have an idea of the potential scale of future usage, the Entreprise Ethereum Alliance member list s a good spot to estimate how future use could increase.
This is why we believe the next 48 hours will be important, for if the price breaks the $325 level, it might signal to even more investors and traders that Ethereum’s uptrend is continuing and will be fueled by every new adoption. Obviously, just as the intrinsic value is a major positive catalyst, the risk that should be watched remains security and scalability.