Coin World Report:
Ethereum’s mirroring of past patterns is a potential sign of a downturn.
Over 73% of ETH whales are still holding their ground.
Ethereum [ETH]
As the end of 2024 approaches, the company has been emulating past market patterns, and traders are closely watching for any potential price declines.
In 2016, ETH experienced significant drops in April, August, and December.
This year, the cryptocurrency has already seen declines in April and August, leading analysts to speculate that a similar drop may occur before the end of the year, possibly in December.
While the pattern indicates a downturn, a key level to watch is $2,800. If Ethereum can break through and maintain above this point, it may avoid a deeper decline.
However, if it fails to reach the $2,800 level, ETH may test the $2,300 level before testing $2,000 before the end of the year.
ETH/BTC pair unable to break 50-day SMA
Another key factor is the ETH/BTC pair’s inability to break the 50-day Simple Moving Average (SMA).
In previous cycles, a strong bullish trend emerged once ETH/BTC surpassed this SMA. This has yet to occur, indicating that the low point may not have been reached yet.
Past patterns support the view that traders often rush to bullish positions without waiting for confirmation.
Currently, competition from other platforms like Solana and inherent ecosystem challenges are putting bearish pressure on Ethereum.
Based on the current price trend, Ethereum may further decline in the future.
Traders looking to take advantage of this could consider short positions as there seems to be a possibility of more downturns.
Meanwhile, the Ethereum Foundation
Continues to
Profit-taking, with recent sales of 100 ETH fueling the bearish sentiment.
Whales have a long lifespan;
Despite these similarities, Ethereum has undergone significant changes since 2016, including mergers and the 4844 upgrade, making it fundamentally different.
Despite the ongoing downward trend, whale activity has hardly changed.
Data from Binance shows that 73.14% of accounts still hold long positions in Ethereum, reflecting confidence in its long-term prospects.
While the short-term outlook may be bearish, these major stakeholders indicate that people still believe in economic recovery.
Once the price stabilizes and both ETH/USDT and ETH/BTC reach their bottoms, traders can find strong long-term buying opportunities.
Although Ethereum may experience another decline before the end of 2024, its long-term prospects remain optimistic.
Read
Ethereum [ETH] Price Prediction
2024–2025
Traders should remain cautious in the short term, but confirmation of a bottom provides hopeful opportunities for those looking to go long.
Over time, the price trajectory of ETH remains one of the most closely watched in the cryptocurrency field.
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