The price of ether has been steadily increasing since the second month of the year, despite the extreme volatility that Ethereum has been experiencing. A rapid increase in the price of ETH beyond $1,800 occurred just before the Merge. It’s possible that the buzz surrounding Ethereum’s transition from a proof-of-work to a proof-of-stake model played a role in the price increase to some degree. The switch, on the other hand, seems to have occurred at the same time as a downward trend for Ethereum. After only a few hours had passed since the Merge, ETH started heading south.
As the price continued to go down, the amount of selling pressure that was exerted gradually caused the value to go down as well. Over the course of the past weekend, the price of ether dropped below $1,300 as it lost some of its sustaining levels.
Will the Price of Ethereum Reach the Mark of $1,000?
The technical chart for Ethereum reveals a pattern that appears to be more negative. This should be taken as a warning. This indicates that its current price, which is somewhere in the $1,350 range, might be subject to an additional price adjustment of 25%. As a result, the price of ETH may fall to $1,000.
According to the most recent report for the US CPI statistics for the month of August, there are indications that an increase in the inflation rate has taken place. On the other hand, the response from crypto assets has not been particularly positive. However, significant selling pressure can already be seen across the board in the cryptocurrency market, and this is happening even before the conclusion of the FOMC meeting.
An in-depth analysis of Ethereum’s price charts reveals a precipitous drop that falls well below the token’s standard deviation. At the high end of the market, the price of ETH was unable to break through the $1,800 barrier. In addition, the downward trend demonstrates that Ether broke through its essential support level of 1,340 dollars. When support levels are breached, it is generally understood to have a technical meaning that a potential decline is on the horizon.
The majority of this can be attributed to the fact that Ethereum’s divergence from the lows in June is located below the regression channel. At this point, the token has a chance of experiencing the third $1,250 deviation retreat. Because of this, there is a chance that ETH will reach the level of $1,000, which is the next potential support level.