With the cryptocurrency market finally arising from its weeks-long slumber and already soaring past $1 trillion in market capitalization, it has given fuel to its major assets, including Ethereum (ETH), the price of which has risen above $1,500 for the first time since the post-Merge crash.
Observing its historical price action, Ethereum could break above $3,000 in 2023, at least according to the tweet and chart posted by the pseudonymous crypto trader and LedgArt co-founder Kaleo on October 27.
“ETH breaking above $3K again in early 2023 makes sense,” he stated.
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Taking the chart into account, the decentralized finance (DeFi) asset is demonstrating an upwards trendline, which indicates that the price is making higher swing highs and lower swing lows, resulting in a shift in a positive direction.
Indeed, $20 billion poured into Ethereum’s market cap in just 24 hours, with its price soaring beyond $1,500 for the first time since September 15, when it suffered a blow following the network’s successful Merge upgrade, Finbold reported.
At the same time, senior commodity strategist at Bloomberg Intelligence Mike McGlone noted on October 26 that Ethereum’s shift to the Proof-of-Stake (PoS) protocol and its commanding position “at the epicenter of the digitalization of finance and money may be a foundation for its price appreciation.”
Ethereum technical analysis
Meanwhile, ETH technical analysis (TA) indicators are looking very interesting. Specifically, the summary is giving off a ‘buy’ sentiment at 13. However, upon further breakdown, the oscillators indicate selling at 4, whereas the moving average (MA) technicals point to a ‘strong buy’ at 12.
At press time, Ethereum was changing hands at $1,548, which represents a 0.93% gain on the day, but also a whopping 19.74% across the previous seven days, nearing the crypto community’s bullish predictions for the price of Ethereum on October 31, made four weeks before.
Censorship fears
That said, not all is well in the Ethereum world as some industry experts are concerned about the network’s resistance to censorship due to now more than 60% of Ethereum blocks being compliant with the sanctions imposed by the U.S. Office of Foreign Assets Control (OFAC).
As a reminder, OFAC sanctioned the popular Ethereum mixer Tornado Cash in August over its role in the alleged laundering of over $455 million in stolen crypto, in addition to blacklisting a number of ETH addresses associated with the protocol.
This has led to the increasing popularity of OFAC-compliant MEV-Boost relays that can censor certain transactions, which crypto intelligence platform Messari earlier called “a credible threat to Ethereum’s neutrality and censorship resistance.”
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