Ethereum Price Predicted to Drop by 13% to $1,700
A crypto analyst has recently forecasted that the Ethereum price could be on the verge of a further 13% decline to new lows. Currently, Ethereum is teetering near the crucial $2,200 resistance level, and a possible rejection at this point could lead to increased volatility and trigger a significant downward movement.
In a detailed technical analysis shared by MadWhale, a TradingView crypto expert, Ethereum is expected to experience a substantial price breakdown, plummeting by 13% to reach $1,700. The analyst attributes this bearish outlook to recent price action and chart patterns observed in the market.
MadWhale’s analysis reveals that Ethereum is currently moving within a Descending Channel, a bearish chart pattern characterized by downward-sloping trend lines connecting lower highs and lower lows. This pattern typically indicates a major downtrend dominated by sellers rather than buyers.
As Ethereum approaches a critical resistance area at $2,200, marked by the upper boundary of the Descending Channel pattern, significant selling pressure is anticipated. Historically, when Ethereum’s price reaches this level, it often experiences a sharp downward reversal.
The analysis suggests that Ethereum may struggle to break through this key resistance area, potentially leading to the predicted decline to $1,700. This target aligns with a strong support zone where the cryptocurrency has previously found buying interest.
While Ethereum’s volume analysis indicates fluctuating market participation without clear bullish drivers or strong momentum, a sustained low volume coupled with increased selling pressure could drive further price declines for Ethereum.
Analyst Patron on X (formerly Twitter) remains optimistic about Ethereum’s future outlook despite the ongoing selling pressure. The expert has outlined three bullish targets for Ethereum, believing that the current downtrend is temporary.
Patron predicts that Ethereum could bounce from a key support level and surge to his projected targets, with the first target set at $2,296, representing a 15.44% increase from the current price. Subsequent targets include a rally to $2,913 and a surge to $4,000, potentially yielding significant profits for investors if achieved.
In conclusion, while short-term price predictions suggest a potential decline for Ethereum, long-term projections remain optimistic about the cryptocurrency’s ability to recover and reach new highs. Investors should closely monitor market developments and price movements to make informed decisions regarding their Ethereum holdings.