Ethereum Price Revisits $2.5K Threshold During Bear Market – What Comes Next?
The digital currency market has encountered a significant downturn following a positive conclusion to the previous week. Bitcoin (BTC), the leading player in the market, has seen a 3.99% drop in its price over the last day, revisiting its low of $58,000.
In a similar vein, Ethereum, the top altcoin, has mirrored this bearish trend with a decline in its price in the past day. Questions surrounding the drop of Ethereum below the $3,000 mark and the potential for another price crash have created a sense of fear, uncertainty, and doubt (FUD) in the crypto market.
This article delves into a comprehensive analysis of market sentiments, updates on exchange-traded funds (ETFs), price evaluations, and potential monthly targets for the Ethereum (ETH) cryptocurrency.
ETH Coin Price Action:
Over the past 24 hours, Ethereum has experienced a 4.08% decrease in price with a trading volume of $15.549 billion, pulling back towards a critical support level of $2,500. The growing pessimism indicates a possible breakdown in the upcoming days.
Despite a correction of around 17% in the last month, Ethereum has formed a bullish expanding triangle pattern in the 1-day time frame, signaling a likelihood of a bullish reversal in the near future.
Currently priced at $2,538.01 with a market capitalization of $309.168 billion, Ethereum commands a 15.1% dominance in the cryptocurrency market.
Ethereum Market Sentiments:
The Relative Strength Index (RSI) remains close to its overbought range, showing a flatline trend, suggesting weak buying and selling pressure for Ethereum.
The Moving Average Convergence Divergence (MACD) indicator displays a neutral stance, with its averages moving sideways in the 1-day time frame, indicating uncertainty in the future price movement of Ethereum.
Ethereum Spot ETF Update:
The Ethereum ETF concluded a week positively for the first time, with ETFs recording two positive days out of five in the second week of August, adding a total of $147.2 million. Despite three negative days, the outflow was only $42.4 million, with 8 out of 9 ETFs showing a positive inflow, while Grayscale’s “ETHE” continued its outflow trend.
The total flow for the week ended at +$104.8 million, marking the first positive week since the launch of the Ethereum ETF.
Will The ETH Price Go Up?
If Ethereum holds above the crucial support level of $2,550, bullish momentum could push it towards the resistance levels of $2,870 and potentially $3,300. Conversely, continued bearish dominance may drive the price down to the significant support level of $2,175.
