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Ethereum is rising strongly... Will it undergo a negative correction before the $3000 summit?

Increased Ethereum (ETH) price) to around $3,000 on February 19 amid expectations about what's expected to happen in the coming months.

As of 20:35 GMT, Ethereum price was US$2,937 with a market capitalization of US$352.96 billion. This change represents a gain of 4.12% in 24 hours - far greater than Bitcoin's 0.4% gain over the same period, and also greater than the overall cryptocurrency market gain of 1.2%.

I saw the bid of an ether coin (STET) for the Lido platform showed a similar increase of 3.88% over 24 hours. And according to For data CoinGecko platform, certified Ethereum Staking Cryptocurrencies Ethereum 2.0 rate adds 5.4%.

Ethereum was responsible for a relatively small portion of liquidations in the derivatives market within 24 hours. The value of assets liquidated was $35.48 million, including $8.43 million in the liquidation of purchase and sale agreements and $27.05 million in the liquidation of purchase and sale agreements.

The rise could be driven by optimism about ETFs and an upgrade in Dencun's rating.

Ethereum's latest advances may stem from the possibility that the US Securities and Exchange Commission (SEC) will approve the creation of a spot Ethereum exchange-traded fund (ETF).

While there were no significant changes to the regulation of Ethereum spot ETFs today, a related report from brokerage firm Bernstein received widespread coverage. The company's analysts predicted a 50% chance that the SEC will approve an Ethereum spot ETF by May, and a near certainty that such a fund will be approved within one year. Along with other similar forecasts in recent months, this report may have an impact on investor sentiment and market activity.

There has also been some negative talk about the prospects of Ethereum ETFs. Thomas Farer, co-founder of Apollo, suggested that the role of a leader For Coinbase Ethereum's model of being the custodian of ETFs could be at risk because it would allow the company to "control the entire network."

indicate Data Dune Analytics indicates that Coinbase currently accounts for about 15% of all ETH staking, while Lido, a staking platform, accounts for over 31%.

Since it is unknown how much cryptocurrency can be held in Ethereum spot ETFs, it is unclear whether Coinbase will be able to gain dominance by holding funds on behalf of these funds.

Additionally, it is unclear whether the SEC will allow ETH held in Ethereum Spot ETFs to be allocated. Although some applicants strive for this.

Beyond these ETF predictions, there are also high expectations regarding Dencun's move to the Ethereum network. Which is scheduled for March 13th. This update will notably include proto-dunksharding, a feature that is expected to improve transaction costs and scalability of the Ethereum network.

Technical analysis of Ethereum (ETH).

Technically, it looks like we have some signs of a coming downward correction. After a sharp upward wave of about 30%, which began two weeks ago at $2300 levels and hardly stopped.

Firstly, Ethereum (ETH) price. On the daily chart it is moving in an ascending price channel. It touched and closed below the upper boundary of this channel at $2,950.

Ethereum daily chart
Ethereum daily chart

The relative strength index (RSI) is in overbought territory after reaching the 80 level and starting to decline.

Also, Bitcoin price BTC Five days ago, it stopped rising and entered a wave of sideways trading. This may also witness some correction.

In the event of a decline, the support levels shown on the chart are good areas to take advantage of trading opportunities.

It remains to be noted that the optimism momentum in the digital currency market as a whole is strong and therefore these technical signals can be ignored. It is important to keep this possibility in mind when making trading decisions.