Ethereum valuation is falling. Currently, the course is below USD 3,700. What happened? Is this just a mere correction?
Ethereum loses its value again
I will start by calming down: what seeing in the ETH chart is just a correction of recent, strong growth. For a month, Ether got up to 64%, and on a scale of 7 days up to 16.6%. We even managed to pierce $ 3,800. And then it was time for correction. Today, one Ether costs around USD 3670.
In the background, however, many good things are happening. The ETH/BTC pair is growing and today is at approx. 0.031, and the level of Ether’s domination on the market – approx. 11.5%.
ETFs ETH buy like crazy. Yesterday they bought Ether for around $ 300 million net! This time the Fidelity Fund was leading, and Blackrock took second place.
In the background we also see shopping large companies, very high investors optimism and expected increases.
Ryan Lee, the main analyst at Bitget Research, described in an interview with our editors, as he perceives the Eth market today:
ETH’s breaking is gaining strength, with an increase in ETH/BTC by 50% from June and a noticeable decrease in long -term owners’ activity – these are echoes of patterns observed before the record level of 2021. ETH, listed at a level close to USD 3,700, is able to challenge the key resistance zone 3950-4000 USD. A definite traffic above can open the way to test the previous summit at USD 4,868 in the next 4-6 weeks.
The support level is USD 3200-3500. There is still a risk of short -term decline. RSI indicators are increased (currently at level 88.61), which suggests the possibility of short -term withdrawal if ETH does not persist above USD 3,400. However, the chain data – in particular the decrease in the age of consumption – suggest that the owners remain in place, strengthening bull’s moods.
Our short-term target for ETH is USD 4,250, with a forecast for the third quarter at USD 4,800-5300, depending on the permanent influx of ETF funds and macroeconomic stability.
What frightened investors?
But what can he worry about investors now? What is happening in the staking pools. 373 194 ETH will reach them in 6 days, but 470 048 ETH will be paid in a similar period. The balance is a minus. The question is whether ETFs and companies will focus such a difference. Of course, we should not assume that all paid Ethers will immediately go to the stock exchanges.
