The king of altcoins is continuing its decline in the markets due to ongoing negativity. At the time of writing, the price stands at $1,595. The past 25 days have been a nightmare for investors, with Bitcoin (BTC) experiencing 11 days of sideways movement followed by a few days of ups and downs before returning to its 11-day sideways trend. This situation has become increasingly difficult for investors to endure.
Ethereum (ETH) Analysis
The price of Ethereum (ETH) is approaching the long-term rising support line that has remained unchanged for 450 days. Although the price movement is downward, the RSI indicator is giving a bullish signal, indicating a previous 145% increase and leading to the highest level of the year.
The daily time frame for Ethereum suggests that the downward boring movement could continue. In April, the price of ETH broke through the $2,000 horizontal resistance area. However, the inability to sustain this breakthrough has dashed investors’ hopes. The recent breakdown, which is a bearish sign, indicates that buyers have weakened significantly at higher levels. This means that faith in the upward movement is weak, and strong selling pressure at resistance levels makes it difficult to surpass the critical zone. This ultimately points to further potential losses.
ETH Price Predictions
ETH is currently approaching a rising support line located at $1,500. This line has remained unchanged since the beginning of the upward movement in June 2022. Specifically, it has measured the slope of the increase for 450 days. However, this region has not been touched. A downward move towards the line would result in a 6% loss from the current price.
There has been a significant decrease in the discount of the Grayscale Ethereum Trust. It reached a record low of 26.64%, reflecting expectations of a potential approval for an ETH ETF. If there is a good price catalyst, this news could bring a test of $2,000. However, even for the king of cryptocurrencies, Gensler has been reluctant to approve an ETF for a speculative asset that he claims to be a security. This explains why the price has not risen as expected despite the recent news.
Although the price movement is downward, the RSI indicator is consistently giving a bullish signal. While this measurement led to a rapid rise on August 17, it was not sustainable.
