The price of Ethereum (ETH) has entered a consolidation phase following recent gains. Currently, the price has fallen below the $2,550 support level, facing resistance around $2,500. However, if it surpasses this critical barrier, there is potential for recovery. Experts indicate that the current situation may signal a risky period of volatility, with venture capital effects possibly leading to pump-and-dump dynamics.
Pump and Dump Dynamics
A cryptocurrency analyst has shared a controversial view on the long-term trajectory of Ethereum. In a tweet, the analyst suggested that Ethereum's significant growth could be linked to a venture capital pump-and-dump scheme. This claim has sparked debates regarding the network's stability and future.
Crypto expert Beamish issued a warning about Ethereum's current market position. He suggested that potential instability could emerge based on the chart patterns of Ethereum. Highlighting market uncertainties, such as the upcoming elections, he stated that Ethereum is "on the edge of balance."
November Predictions
At the time of writing, the ETH price hovers around $2,400, experiencing declines due to losses in BTC over the past 24 hours. Ethereum is positioned near critical resistance levels, with significant potential for price movement. If it breaks through the $2,550 resistance, it may progress towards $2,600. Surpassing $2,800 could bring the price close to $3,000, largely determined by the U.S. elections.
If Ethereum does not manage to break the $2,500 resistance for an extended period, there is a risk of a decline. A definitive break below $2,400 could increase selling pressure, potentially pushing the price down to $2,350.
The short-term direction of Ethereum remains uncertain. Resistance levels, venture capital speculations, and market conditions are shaping the price outlook for this leading cryptocurrency.
