September has been a downbeat period in the crypto market over the last few years, and this year was not an exception. Ethereum dropped by 12.57% on the month, but it caught up fast at the start of October.
ETH trades 12% high as far as October is concerned at the moment. With around 25 days to end this month, the market can witness price volatility. For now, the largest altcoin appears ready to rally towards its record high with its amplified bullish strength.
Ethereum’s Structural Bounce-Back
Ethereum surged to near its ATH at $4350 during its August sessions. However, bulls failed to maintain the asset’s momentum, ETH dropping from $4200 as September approached. For now, the bounce-back zone can be a vital area worth investors’ attention.
The range at $2,900 to $2,700 has served as a massive resistance over the May retracements. The asset failed to break the price zone, plunging below $2,000. ETH secured support in the same $2,900 – $2,700 range in the past seven days before rising to levels beyond $3,000 once again.
Increasing Interest and Funding Rate
The alts actions over the past sessions caused fluctuations in the derivatives marketplace. Crypto quant data indicates that exchanges’ open interest heightened following the latest price shift as the overall market saw bullish scenarios. Meanwhile, the funding rate showed a massive spike that turned sturdily positive at this publication.
As the alt sees increased long positions bets, for now, positive sentiments might fuel the asset’s bullish strength in the coming few weeks. That way, Ethereum might gather the momentum needed to touch or overpower its previous ATH.
ETH displayed bullish gestures as daily active addresses increased. Currently, the coin underwent a bearish divergence that might turn into selling signs if ETH fails to push forward in the coming sessions. With that, the coming weeks might be crucial for Ethereum’s movements as volatility might break or make the upside trend.
For now, the overall market retains its bullish outlook despite the slight drops. Ethereum has chances to rally towards its record highs in the coming sessions.
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