Ethereum

Ethereum Price Slumps in the Face of Inflation Data and Fed Uncertainties

Published

7 months ago

September 11, 2023

Crispus

Ethereum price has been in a steep decline over the past few days amid a dull market. The largest altcoin by market cap has crashed by 14% in the month to date and nearly 3% in the past week. At the time of writing, Ethereum price was trading 1.45% lower at $1,593.45. The asset’s total market cap has dipped by nearly 2% over the last day, while the total volume of Ether traded over the same period jumped by more than 116%.

Economic Outlook

The crypto market started the week in the red, adding to the previous week’s losses amid global economic concerns. Bitcoin, the premier cryptocurrency, has also been on a decline for the past few days, weakening the overall crypto market sentiment. Major altcoins, including BNB, XRP, Dogecoin, Cardano, and Solana, have also inched lower in tandem with the general market movement.

The Crypto Fear & Greed Index, which measures the crypto sentiment by market participants, has declined to a fear level of 35, slightly lower compared to last week’s Fear level of 37. This indicates a decline in risk appetite by investors, which could prompt an increase in selling pressure. The global crypto market cap has decreased by more than 1% over the last day to $1.02 trillion, its lowest level since June.

Investors are bracing themselves for the release of inflation data for August in the week ahead, with the Consumer Price Index (CPI) and Producer Price Index (PPI) slated for Wednesday and Thursday, respectively. The inflation figures will guide the US Federal Reserve on the next monetary policy move.

Several central bank officials have indicated that economic data will be crucial in the Fed’s interest rate decisions. A string of stronger-than-expected economic data released last week renewed worries that the central bank could raise rates further than expected. According to the CME FedWatch Tool, markets are pricing in a 93% chance of a pause in the Fed’s interest rate hike campaign in its September meeting. Notably, traders are pricing in a 4 in 10 chance of a hike in November.

Investors are also closely watching the European Central Bank’s interest rate decision slated for Thursday. Markets are pricing in a 40% chance of a 0.25% hike to 4.00% by the central bank. An environment of higher interest rates tends to be bearish for risk assets, particularly cryptocurrencies.

Ethereum Price Technical Analysis

Ethereum price has been hovering around its lowest level since March over the past few hours amid a bearish market. The digital asset remains below the 25-day and 50-day exponential moving averages, as well as the 20-day and 50-day simple moving averages, as seen on the 4-hour chart. Its Relative Strength Index (RSI) has inched lower to the oversold region, indicating an increase in selling pressure.

Therefore, I expect the Ethereum price to continue falling in the short term as economic concerns continue weighing on the prices. A move below the immediate support level of $1,565 might pave the way for further losses. On the flip side, a breakout above the 50-day EMA at $1,630 could prompt a fresh upside, invalidating my bearish thesis.

ETH Price Chart

Ethereum

Ethereum Price Hovers Around $2,190: A Delicate Balance Between Profit-Taking and Bullish Sentiment

Published

4 months ago

December 20, 2023

Crispus

Ethereum price has been struggling to hold above the crucial support of $2,190 for the past few days amid profit-taking by investors. At the time of writing, the second-largest cryptocurrency by market cap was trading slightly higher at $2,216.20. Even so, Ethereum’s total market cap remains 1.33% lower for the day at $266 billion, while the total volume of the asset traded over the same period declined by 2.56%.

Fundamental Analysis

Ethereum price has been trading sideways for the past few days amid profit-taking by whales, triggering an increase in selling pressure. The Ethereum price has been positively impacted for the past two months by the recent bullish momentum in global crypto markets, fueled by Bitcoin’s surge to $44,000.

Over the years, ETH has maintained a distinctive market position attributed to its extensive developer community, widespread adoption, and pivotal role in decentralized finance (DeFi) and various blockchain applications. However, the impact of significant holders selling could continue driving the ETH price lower in the ensuing sessions. Despite these concerns, the overall market sentiment remains cautiously optimistic, leaving room for potential further growth in the asset’s price.

According to CoinMarketCap, the global crypto market cap has increased to $1.61 trillion, over the past few days. The Crypto Fear and Greed Index, which measures the key emotions driving the market, has improved slightly over the past day, highlighting an increase in risk appetite.

The recent decline in the greenback…

Ethereum

Ethereum Price Sails Past $2,300 with Bulls at the Helm

Published

4 months ago

December 8, 2023

Crispus

Ethereum price has been on a tear, blasting past the psychological level of $2,300 amid speculation of spot Ether exchange-traded funds (ETF) launching in the markets and broader market cues. The largest altcoin by market cap has climbed by nearly 15% in the past week and more than 96% in the year to date. ETH’s total market cap has increased to $282 billion over the past 24 hours, while the total volume of the asset traded over the same period increased by more than 14%.

Behind ETH’s Rally

Ethereum price has recorded significant gains over the past few weeks, consolidating within a bullish ascending parallel channel since the broader market turned bullish earlier in October. Data by Santiment has revealed that corporate entities and high net-worth investors have continued to double down on their ETH positions.

According to the prominent on-chain tracker, the top 20,000 Ethereum wallets have ramped up their buying spree this week. An increase in the supply held by top addresses is often interpreted as a strong bullish signal. This highlights a buying trend among the largest stakeholders within Ethereum’s ecosystem.

One of the key catalysts behind Ethereum’s price rally is the anticipation of the approval of a spot Ether ETF, which has increased demand and market optimism. On November 30, the US Securities and Exchange Commission (SEC) initiated the review process for Fidelity’s spot Ether ETF proposal filed earlier on November 17. This…

Ethereum

Ethereum Price Reclaims $2,000 on the Back of Crypto Market Renaissance

Published

5 months ago

November 24, 2023

Crispus

Ethereum price edged higher on Friday, reclaiming the critical psychological level of $2,000 after hitting an intraday high of $2,129.29. Ethereum, the second largest token by total market capitalization, has been outperforming the crypto market this week and is on pace to end the week 8% higher. ETH’s total market cap jumped by 4% over the last day to $255 billion, while the total volume of the asset traded over the same period declined by nearly 10%.

ETH Price Outlook

Ethereum price is back to trading above the important level of $2,000 amid positive on-chain data and bullish crypto market sentiment. Data by IntoTheBlock shows that more than 500,000 ETH tokens have left exchanges for non-custodial wallets this month, the highest amount in three months. As such, total outflows increased to $1 billion in three weeks. This suggests that traders and investors have taken advantage of ETH’s recent dip, which has proven profitable.

The crypto market sentiment has also buoyed the Ethereum price rally this week. The global crypto market cap has increased by more than 2% over the past 24 hours to $1.44 trillion, while the total crypto market volume inched slightly lower over the same period. The Crypto Fear and Greed Index has increased to a Greed level of 72, up from 67, hinting at an increase in demand for the risk assets.

Additionally, Bitcoin’s brief…