The cryptocurrency market is facing tense conditions, bringing Ethereum down to levels not seen since March 2020. An analysis of the current state may provide insights into future trends.
Ethereum and the Realized Price
As of now, Ethereum is trading at $1,380, which is a psychologically significant threshold not reached since March 2020. This indicates that ETH has become more detached from its realized price of $2,000. Such a gap between market price and realized price often precedes accumulation and future increases.
Drop to $1,500: Situation Analysis
The recent drop of Ethereum to $1,500 has become a significant event. This former level, which was long considered stable, is now under pressure. Following this, ETH has formed a technical ‘neutral’ range that does not indicate clear support levels.
Future of Ethereum: Risks and Opportunities
Against the backdrop of the current market conditions, investors are beginning to show caution. One of the main questions remains whether Ethereum will be able to resume growth given the declining trading volumes and ongoing macroeconomic pressure. If the price breaks the critical threshold of $1,380, it could lead to further declines.
The overall picture shows that Ethereum is facing significant challenges under current economic conditions. It will be interesting to see how the situation unfolds and what actions investors will take in response to these changes.
