ETHUSD recovery supported by expanding use of cryptocurrencies in US

After last week's sharp decline, Ether prices are gradually regaining their losses. ETHUSD has already returned to the 1.5-month range of 2,460–2,750 and is now targeting its upper limit. Consolidation above the 50-day moving average line suggests further appreciation of Ether, as does the improved news background. The buyers’ nearest target could be 2,650, which would open the way to June highs.

Yesterday, William Pulte, director of the US Federal Housing Finance Agency, also provided a positive outlook for cryptocurrency market participants. He stated that the largest mortgage agencies, Fannie Mae and Freddie Mac, should consider including cryptocurrencies in their assessment of borrowers' creditworthiness. Currently, digital assets are either ignored or significantly discounted. As a result, borrowers have to sell their cryptocurrencies to prove their solvency in dollars when applying for a mortgage.

Meanwhile, Bit Digital, a company that previously engaged in Bitcoin mining, has announced its transition to Ethereum staking. According to FXStreet, this is the third company to completely or partially shift its focus to ETH over the past week, signaling that major market players see greater growth potential in Ether than in Bitcoin. This difference is clearly visible on the chart, where BTCUSD is close to its historic high, while ETHUSD needs to double in price to achieve the same level.

CoinDesk analysts believe that Ethereum's lag behind Bitcoin is a result of different strategies. BTC is attractive due to its simplicity, but this also significantly limits its potential for improvement. Meanwhile, ETH network developers have created a more complex decentralization mechanism that paves the way for regular innovation. According to CoinDesk experts, the cryptocurrency market is close to a tipping point where investors will finally recognize Ethereum's potential.

The Stochastic indicator on the daily ETHUSD chart is moving upward with no signs of overbought conditions. This confirms the high probability of continued price growth toward the level of 2,650.

Consider the following trading strategy:

Buy ETHUSD at the current price. Take profit — 2,650. Stop loss — 2,350.