According to the latest data from Coin market, Ethereum is currently trading at $203. There are 102,665,982 ETHS in circulation and the daily trading volume is at $1,351,248,840. The market capitalization is at over $20 billion. Overall, there has been a decline in all aspects and this begs the question of the future of the Cryptocurrency.
Ethereum Price Analysis
The supply zones of Ethereum are $249, $234, and $223. On the other hand, the demand for Ethereum is $190, $204, and $209. This means that there is a mismatch between the supply and demand. Since the supply is more, ETH is under downward pressures and a bear run scenario is highly likely.
Analyzing historical data, yesterday’s data indicates a supply zone of $223 versus a demand zone of $209. Today’s price is therefore at a low of $203 because yesterday’s low demand of broke the $209 demand zone and the price is self-correcting.
If the demand zone of $204 is broken, analytical projection indicates that the price could slump to $190. This should provide investors with an opportunity to initiate long-term trade deals in anticipation of future bear runs or short-term price recovery.
ETH is falling below the 50-day EMA and 4-day EMA. Most interestingly, the two EMAs are separated and contrasted to each other. This indicates that a bear run is more likely as the price is expected to fall further, even beyond the $200 mark.
Nonetheless, the Stochastic Oscillator period 14 is falling below the 20 levels. This points out that a bull run is likely as the market is oversold. However, despite the high investor activities, the market is still bearish perhaps supplying ETH more than buying.
Are Downward Forces Overwhelming?
The short-term outlook of ETH/USD indicates that the trend is bearish despite the increased market participation by investors. The fact that ETH prices broke out of the demand-supply bound zone yesterday at $223 and $209 to trade at $204 shows that there are external volatilities that are influencing the market. Mostly, the downward pressure is originating from Bitcoin’s jitters over the upcoming ETF approval by the US SEC, or renewed investor concerns over looming security risks in Cryptocurrency markets.
Prediction Of A Bull Run
The co-founder of Thomas Crown Art- an art tech agency, Ian Mcleod, however, sees a bull run in the short term. He believes that Ethereum would hit $500 by the end of the year. He, however, says that all the Ethereum needs to do is to break the resistant levels by breaking the $208 and $210 marks to continue to an unprecedented upswing to the forecasted $500.
The causal factor, according to Ian, is that there is an increasing number of industries demanding using Ethereum powerful blockchain to revamp their services. Some of the examples are finance, antiques, and real estate.
Finally, there is an upcoming Ethereum Development Conference that will be conveyed in the Prague Czech Republic from 30th October to 2nd July. It will bring together Ethereum based artists, researchers, developers and designers with an aim of empowering the Ethereum Blockchain and community in their quest to build more competitive DApps.
Conclusively, only after the conference can the prospects of a bear run or bear run be explicit as the current events and data give mixed signs.