Technical Analysis of ETH/USD for April 27, 2021

Crypto Industry News:

Ethereum is a cryptocurrency that has seen one of the largest increases over the past few weeks. Along with the price increase, the network transaction fees dropped.

Data from EthGasStation indicate that standard or fast transactions are processed at costs between 39 and 50 gwei (respectively).

As shown in the chart below, gas charges in the second-largest cryptocurrency network have been falling since April 20. At this point, this indicator has jumped to an average of $ 37, which is the highest cost since February 2021. The trend appears to be reversing and the indicator is close to its lowest level this year with an average cost of $ 10.22 per transaction.

Ethereum's nearly 72.22% hash rate uses Flashbots and their tools. Miners use them to maximize their rewards. The hash rate has seen an almost 15% increase in the last two weeks.

The implementation of the EIP-1559 scheduled for July caused much discontent in the mining sector. Many web users have focused on finding new ways to maximize their profits and Flashbots could become the backbone of the new ETH fee market.

Technical Market Outlook:

The ETH/USD pair has reversed from the lows located at the level of $2,201 and is currently trading above the level of $2,500 again. The local high was made at the level of 42,653 at the time of writing the analysis. Any further rally will lead to another wave up towards the recent high located at the level of $2,639. The immediate technical support is located at $2,377. The momentum remains strong and positive, so the odds for another wave up are high.

Weekly Pivot Points:

WR3 - $3,085

WR2 - $2,863

WR1 - $2,509

Weekly Pivot - $2,289

WS1 - $1,926

WS2 - $1,691

WS3 - $1,326

Trading Recommendations:

The longer term up trend on the Ethereum continues despite the local counter-trend corrections. When the correction is terminated, the next long term target for ETH/USD is seen at the level of $3,000. The key long term technical support is seen at the level of $2,000, so only a weekly candle close below this level will invalidate the bullish scenario.