The Ethereum (ETH) prices are higher when writing, buoyed by recent fundamental factors. The daily chart shows that the coin is up 3% from recent lows and seems buoyed by rising trading volumes. Overall, the injection of buying pressure on August 8 revived demand and optimism.
However, buyers must push on, ideally forcing prices above the $1,900 level, for buy trend continuation.
In the medium term, the region between $1,800 and $1,820 offer support for optimistic buyers.
Conversely, a high-volume breakout above August 2 high may trigger demand, lifting the coin towards the psychological $2,000 level and above.
PayPal Issues Stablecoin
PayPal is venturing into the stablecoin business and opted to mint on Ethereum. PayPal is one of the world’s top payment processors, and the crypto community is ecstatic about their decision to choose Ethereum over another network.
The Wall Street firm, in essence, becomes one of the top technology firms from the United States to venture into the stablecoin business. PayPal’s stablecoin will be backed by USD and short-term treasuries and issued by Paxos Trust Co.
Paxos 🤝 PayPal
Thrilled to be partnering with @PayPal to bring PYUSD, the world’s safest dollar-backed digital asset, to hundreds of millions of consumers and merchants worldwide.
PYUSD is the first of its kind, representing the next phase of US dollars on the blockchain. This…
— Paxos (@Paxos) August 7, 2023
For what it is, Ethereum is the most active smart contracts platform, gauging from the number of unique transactions processed every day.
Still, how PayPal will proceed and break the dominance of USDT is yet to be seen.
USDT is the third-most valuable cryptocurrency after Bitcoin and Ethereum based on circulating supply.
Ethereum (ETH) Price Analysis
A three-bar bullish formation in the daily chart suggests a possible shift in momentum.
After fears of lower lows, the revival on August 8 saw ETH prices edge higher, closer to $1,900. For now, the immediate support is $1,800.
Traders can wait for a fresh close above $1,900 and August 2 before loading the dip. However, considering the surging trading volumes, higher than average on August 8, aggressive traders can load the dips in lower time frames.
This position is only valid if prices break above the August 8 highs. Any dip below that will nullify this preview.
Conservative traders can wait for a convincing close above $1,900 before trading the breakout for $2,000 and higher in subsequent sessions.
Technical charts courtesy of Trading View.
Disclaimer: The opinions expressed do not constitute investment advice. If you wish to make a purchase or investment we recommend that you always conduct your research.
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