#OnChainLendingSurge Today, the cryptocurrency market is once again demonstrating its volatility. The price of Ethereum (ETH) $ETH dropped below the $3,300 mark, which is a concerning signal for investors. This drop highlights the current difficulties the market is facing, despite recent successes and positive forecasts.
🔸 Key factors for the decline:
1. Technical correction: After a sudden rise, cryptocurrencies often experience a pullback, which is necessary to stabilize the market and restore the balance of supply and demand.
2. Macroeconomic uncertainty: The tightening of monetary policy in the USA and Europe, as well as volatility in the stock markets, increases pressure on cryptocurrencies.
3. Decrease in trading volumes: Against the backdrop of holidays and anticipation of global economic decisions, trading volumes remain below average, affecting liquidity and volatility.
4. Lack of major news: The market needs new positive catalysts, such as the launch of major updates, partnerships, or institutional investments.
🔸 What to expect next?
Despite the current decline, experts are confident that this is a temporary correction. In the medium term, Ethereum may show growth again, thanks to the expected network updates, such as improvements in scalability and reduced fees. Moreover, interest in DeFi, GameFi, and NFT technologies continues to support the fundamental value of Ethereum.
Ethereum remains a key player in the market, and its role in the blockchain ecosystem cannot be underestimated. Share your opinion in the comments – when do you think the next rise will begin?
