Although there was scant Ethereum news this past weekend, the ETH price finally started to gain some distance from the $300.00 level. It reached as high as $313.75 on Sunday moving towards our ETH forecast.
That said, at the time of writing, the Ethereum to USD exchange rate was up 3.18% to $308.94, and the Ethereum to Bitcoin rate was down 2.60% to 0.05016260 BTC.
The momentum for ETH is due, in part, to higher trading volumes.
Daily Ethereum Chart
For example, there was 109% more trading activity on Sunday as opposed to Saturday, thus increasing the amount of Ethereum that changed hands from $264.4 million to $551.8 million.
As in the past, South Korea is behind the surge in trading volumes. This much is obvious from the fact that Bithumb, a Korean exchange, accounts for nearly one-fifth of all trading volume.
This is a sharp break from tradition. Ethereum’s trading support is usually widespread, making it rare to see an exchange account for more than 10% of total volume.
Nonetheless, the increase in liquidity helps traders find higher bids, thus raising the overall price. So it’s still a good thing. If volume continues to rise, we’re likely to see ETH move closer to the $349.00 level.
Moreover, the regulatory environment is still looking favorable for decentralized application blockchains. For example, there were 48 new members on the Ethereum Enterprise Alliance.
Considering that it is the largest blockchain consortium in the world—and that its membership is composed of status quo players on the Fortune 500 list—it stands a decent chance of securing positive regulation.
There is a lot of technical analysis published about Ethereum, most of it irrelevant. ETH will ultimately move based on long-term fundamentals, so either you believe that decentralized applications are revolutionary or not.
Debating about price support at $308.00 or $319.00 or $321.00 is like standing at a train station, quibbling over the time, while the train pulls away from the platform. The point is, you’re going to miss the train.
As such, we maintain our $1,000 Ethereum price forecast for 2018.