🔥🔥🔥 Analyst Predicts Ethereum Nosedive, Cautions Investors To Prepare For $2,700 Target
Amid the ongoing downturn in the cryptocurrency market, Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has not escaped the turmoil. Over the past week, ETH has fallen by 9%, bringing its price down to $3,130.
As market participants watch closely, attention is now focused on crucial support levels that must hold to avoid further declines and potentially increased liquidation rates not seen in months.
Critical Juncture for Ethereum Price
Crypto analyst "Inspo Crypto" highlights that Ethereum’s price has retreated to levels last observed at the beginning of May. The upcoming 8-hour trading period, represented by a 1-day candle, will be pivotal in determining whether the bulls can stage a recovery or if further declines are imminent.
A rebound above the current level might signal a deviation from the bearish trend. However, if Ethereum fails to hold the lower trend channel at $3,170, it could lead to a further drop toward $2,700, impacting altcoins and resulting in substantial losses across the market.
Potential for Upward Movement to $5,000
Inspo Crypto believes that if Ethereum maintains its price above $3,170, it could confirm an upward trajectory towards $5,000. This bullish outlook is based on Ethereum operating within a new trend channel since October 2013, with the timeframe extending until the end of the year.
Maintaining the $3,170 level would also support the long-term trend channel, indicating that ETH was in a bearish phase between August 2023 and February 2024 and could rise towards $8,000 in the coming months.
However, it's important to note that this analysis does not factor in external influences such as changes in monetary policy or geopolitical events.
Ethereum is currently at $3,130, down 5% in the last 24 hours. For a potential recovery and the start of an altcoin season, ETH needs to close above the $3,170 level soon.
Source - newsbtc.com
