Ethereum Bearish Pressure Can Drag ETH Back Down To $1,000 – Here’s Why
Ethereum completed its shift from proof-of-work (PoW) to proof-of-stake (PoS) via the highly anticipated “merge” last September 15, 2022.
But after more than a month from that historic event, Bitcoin’s closest rival still has nothing to show for as its price flat-lined as it failed to take off despite the hype that surrounded the second largest cryptocurrency before the merge.
- Ethereum struggles to breach and sustain the $1,300 marker
- ETH is caught in a pattern that will extend its bearish momentum
- A bullish run is still possible with $1,400 as the immediate target
At press time, according to tracking from Coingecko, Ethereum is trading at $1,297 and while it managed to increase by 3.6% over the last 30 days, it is still nowhere near the level it was expected to be after its blockchain’s transition.
The coming days could prove to be more challenging for the digital asset as there’s a possibility it could experience severe price dump.
Ethereum Could Be Looking At $1,000 As Support
The altcoin’s daily technical chart shows its price established a symmetrical triangle pattern which accelerates prevailing trend movement.
In Ethereum’s case, this is not favorable news considering it has been on a consistent decline over the last few weeks.
With its current bearish momentum, ETH could end up being in a steep fall all the way to support range of between $1,200 and $1,000.
The asset’s volatility is also high, but this could work either way as it presents an opportunity for an upward break in the trendline that could trigger a price rally up to $1,400.
If Ethereum manages to keep $1,400 as a resistance marker and continue with a bullish movement, it could prime itself to test the $1,550 levels.
The King Of Altcoins Can Still Surge
While some sectors in the crypto space has called the Merge as a dud, Ethereum still has a lot of fight left in it as there is still chance for it to surge and be back in conversations of being at par with Bitcoin.
In fact, even if BTC price remains in status quo and consolidates for a while, ETH’s could start its own rally to surge and invalidate the previous bearish thesis about its trajectory.
If the conditions are met and Ethereum manages to flip the crucial $1,730 resistance marker, it will revisit the psychological $2,000 level.
If that happens, the digital asset will be several steps closer to its all-time high of $4,878 which was attained in November of last year.
ETH total market cap at $159.2 billion on the weekend chart | Featured image from Forkast, Chart: TradingView.com
Disclaimer: The analysis represents the author’s personal views and should not be construed as investment advice.