Ethereum (ETH) is at present hovering across the $2,480 mark, and the Rainbow Chart tasks the worth may drop to a triple-digit or rise to a five-digit vary by the tip of the month.
The chart tracks Ethereum’s historic worth efficiency utilizing a logarithmic regression curve and tasks future costs with a color-coded scale divided into 9 zones. Every zone represents a special degree of market sentiment, from vital undervaluation to intense overvaluation.
For June 30, Rainbow Chart tasks a worth vary from $862 to $20,117.
The bottom colour band, labeled “Hearth Sale,” predicts a worth between $862.75 and $1,169. This vary indicators deep undervaluation and uncommon shopping for alternatives. Above it lies the “BUY!” band, which ranges from $1,169.49 to $1,617.27, which is likewise seen as a gorgeous entry level.
Subsequent up, the “Accumulate” degree stretches from $1,617 to $2,274, suggesting a reasonably bullish outlook. Above it, the “Nonetheless Low cost” zone covers the vary from $2,274 to $3,239, the place Ethereum could be thought-about under truthful worth however rising in attraction. At its present worth, ETH is at present on this zone.
The “HODL!” band, which spans from $3,239 to $4,668. This band displays neutral-to-positive sentiment. Above it’s the so-called “Is that this a bubble?” zone, starting from $4,668.12 to $6,780.45, the place worth momentum begins to spark market warning.
Larger up, the “FOMO Intensifies” vary goes from $6,780.45 to $9,865.96 and indicators rising speculative fervor. If the worth goes up much more, it would hit the “Promote. Severely, SELL!” zone starting from $9,865 to $14,109 and suggesting peak market warmth.
The uppermost zone, the “Most Bubble Territory” band, ranges from $14,109 to $20,116.86 and suggests excessive overvaluation.
Ethereum worth evaluation
At press time, Ethereum is buying and selling at $2,478, a -5.88% dip previously 24 hours.
This locations it someplace in the course of the “Nonetheless Low cost” zone, implying it’s buying and selling under truthful worth and prone to rise in attraction quickly.
Certainly, upcoming upgrades like Fusaka and Glamsterdam may enhance Ethereum’s throughput and bullish long-term prospects. Nonetheless, rising leverage may additionally improve volatility threat.
Additional bearish indicators embrace a Transferring Common Convergence/Divergence (MACD) histogram of -40 and a Relative Energy Index (RSI) of 46.72, which counsel consolidation.
Featured picture through Shutterstock
