[Historical data shows that the price of Ethereum will correct by 50%]
Ethereum (ETH) has been under intense selling pressure recently, falling 10% over the past seven days and currently trading below $2,400. Based on a logarithmic regression model, prominent crypto analyst Benjamin Cowen predicts that ETH could drop another 50% to $1,200. Cowen noted that historically there have been similar declines in the fourth quarter of 2016 and 2019.
Despite hopes for an October rebound, known as the "Uptober," market analysts warn of downside risks to consider. Cowen believes that ETH may correct significantly again before the end of 2024, and the market’s optimistic expectations for Bitcoin’s halving are outdated.
At the same time, geopolitical conflicts such as tensions between Israel and Iran have further hit the crypto market, causing the price of Bitcoin and other currencies to fall. In addition, ETH ICO whale holders continued to sell off, and demand for spot Ethereum ETFs from institutional investors was also subdued, reflecting weakening investor confidence.
Despite the challenges, co-founder Vitalik Buterin continues to promote the development of the ecosystem, and he recently proposed halving the staking requirements to 16 ETH to promote further development of the ecosystem.
