Key Takeaways:
- The price of Ethereum (ETH) drop below $1500 as the overall market capitalization of the crypto market falls 6%.
- The trading volume of the token surges in the last 24 hours as sellers run to take profits.
- Analysts are positive of a rebound in the short term, expecting the token to reach $4000 by the end of 2025.
Ethereum (ETH) has sharply dropped on Monday, plunging nearly 13% from $1,600 to $1,569, in the last 24 hours. The price drop is not a single-time occurrence; the entire crypto market is in turmoil, experiencing significant price declines, causing a 6% drop in the global crypto market cap, which now stands at $2.51 trillion. This has led to around $160 billion being wiped out from the crypto market.
But it is interesting to note that the 24-hour trading volume of Ethereum (ETH) has, on the other hand, surged by around 300%. This indicates that investors are in panic and rushing to sell while whales make big moves and the like.
Ethereum’s market cap is at $189.58 billion, holding in the range between $1,700 and 1,800 for some time, with noticeable stability. A few days back, the price was slowly rising toward $1950-$1970 resistance levels. If the momentum continued, it could have led to a breakout to reach $2050 or $2100. But this was disrupted as sellers decided to sell off and take advantage of this surge. This paused the momentum, and ETH took a nosedive instead.
The latest Ethereum analysis has signaled a breakdown from a symmetrical triangle, which gives it more traction to drop below $1,600. Additionally, on-chain metrics give out bearish signals like reduced active addresses and declining transaction fees.
However, some analysts believe that Ethereum will surge again to reach $4000 by the year-end. With ETH dominance wavering and forms unfolding on the charts, investors keep eyes peeled for the next major move in this highly fluctuating market.
ETH Token Under Huge Pressure Amid Market Volatility
The marketplace of Ethereum has been facing huge pressure, with the token now trading at approximately $1,496. In a recent analysis of Ethereum, there is a breakdown in the symmetrical triangle and extra potential declines below $1,500. This technical analysis suggests a bearish position after retesting, along with low trading volumes. On top of that, on-chain metrics signal a massive decline in active addresses and gas fees, further causing turmoil. The merge event has become a long-term concern, expected to suppress price trading by those who fear future outcomes.
Ethereum (ETH): Price Analysis And Insights
The Ethereum price chart currently displays a bearish picture, as the ETH token struggles to maintain momentum over the $1800 level. Recently, the price movements have dropped below a crucial symmetrical triangle pattern, which indicates a further price drop to below $1500. This technical breakdown is also complemented by the on-chain metrics and the overall bearish sentiments due to the market condition.
The price action near the important support zone at $1500 will be important as Ethereum has often displayed stability here. The RSI readings are not yet moved to the oversold area, which gives us hope for further price corrections.
The complete market structure of Ethereum is currently in a weak position, with new lows and lower highs signaling the bearish trend is gaining momentum. The downward phase seems to be further supported by momentum indicators. In contrast, a few analysts are calling out for end of an end-of-year rebound back to $4000. But according to the available technical outlook, the downside will continue. A failure to hold above $1500 will send the market sliding further down, while an initial resistance is expected to come in at $2,000 in case of a recovery.
The dip in Ethereum is trending as the cryptocurrency trends are very volatile. The current analysis suggests bearish speculation in the short term, based on some technical patterns as well as on-chain metrics. Long-term futures indicate a more positive outlook, expected to rebound significantly by the end of 2025.
At the time of writing, Ethereum is trading at $1496.46, down 16.25% in the last 24 hours alone. The market volume has seen a significant rise in the same time period, surging 526.58% to result in a total volume of $42.13 billion.