Ethereum, the world’s largest smart contracts ecosystem, has seen little change lately, but a weekend spike saw its price reach $1,769. As the European trading session begins, the second-largest crypto is down just 0.1%. Despite this small dip, several buy signals have emerged, suggesting the potential for more significant price increases. A noteworthy development in the decentralized finance (DeFi) industry is the appearance of 30,000 “Ethscriptions” on the Ethereum blockchain, inspired by Bitcoin Ordinals, a technology that has enabled nonfungible tokens (NFTs) to become inscribed on the Bitcoin blockchain and increased its utility.
A new protocol, Ethscriptions, was introduced on June 17 by Tom Lehman, co-founder of Genius.com. This protocol allows users of the Ethereum ecosystem to launch NFTs and other digital assets. Since its activation, nearly 30,000 assets were generated in just 18 hours. Lehman explains that these assets use Ethereum’s “calldata” – the information within a smart contract, which results in a more cost-effective and decentralized minting process compared to traditional smart contract-based methods.
Presently, only images can be inscribed, but future upgrades promise diverse file types to become available. Users can “ethscribe” any picture as long as it doesn’t exceed 96 kilobytes. Lehman’s first venture on this protocol, Ethereum Punks, was highly successful as the community immediately claimed the entire lot of 10,000 assets.
Ethereum’s price currently sits at $1,725, with short-term support provided by the 200-day Exponential Moving Average (EMA). It appears that the bulls have managed to maintain their stability above a reliable ascending trendline. If this support holds, Ethereum may reach above $2,000. A buy signal from the Moving Average Convergence Divergence (MACD) indicator suggests that the path with the least resistance is currently to the upside.
Similarly, the Relative Strength Index (RSI) holds above 40, with traders looking for it to pass the midline and head toward the overbought region (above 70) in order to confirm a potential rally to $2,000. In the meantime, other essential levels and actions to watch include a daily close above the 200-day EMA at $1,727 and the reclamation of $1,800. However, if the price declines below the ascending trendline, Ethereum could face losses targeting $1,450 and $1,200, respectively.
Source: Coingape
