Although Ethereum (ETH) has been struggling to regain the psychological threshold of $2,000 despite the recent positive momentum on the wider cryptocurrency market, its outlook might not look as bearish by the year’s turn if BlockchainCenter’s rainbow price chart for Ethereum is any indicator.
Specifically, some crypto traders and investors use Ethereum’s rainbow chart to observe the historical movements of the second-largest cryptocurrency by market capitalization in relation to various moving averages (MAs) and find patterns that could help them make better investment decisions.
As it happens, this chart suggests that Ethereum is currently still in the ‘Fire Sale’ phase, indicated by the color purple, and ranges between $0 and $2,593, below the ‘Undervalued’ blue zone between $2,593 and $3,668, as per data seen by Finbold on June 23.