Ethereum suffered huge losses when the crypto coin crashed to $2,000 levels on Monday. Analysts predict a continuous price collapse contrary to its rising trend line of support. An expert also warned about growing blockchain threats to Ethereum, like Solana and Cardano.
Investors had high hopes for Ethereum when it traded at $4,000 at the start of September. Unfortunately, markets fell to $3,200 last week and even lower this week.
At the time of writing, Ethereum bounced back from the $2,920 marker and traded at $3,075, with a 2.76 downward trend in the last 24 hours. Ethereum is desperately holding its markets above $3000. However, with its current performance, ETH might reach as low as $2,600 sometime this week.
Ethereum Price Crash: New Support and Resistance Levels
According to Cryptopotato, Ethereum’s daily RSI is well below the midline, indicating bearish momentum.
Ethereum’s strong support levels are marked at $2,890, $2,770, $2,729, and $2,600. Breaking past these markers are indicators of another serious Ethereum price crash in the market. Investors should sell their tokens immediately before this happens.
On the other hand, Ethereum resistance levels are marked at $3,200, $3,300, $3,350, $3,550, and $3,600. These markers should serve as a reminder for short-term investors that regaining the $4,000 is extremely difficult for the month.
Ethereum Price Prediction: Expert Warns About Competition
Market Insider also warned about the Ethereum network losing its edge against other cryptocurrency competitions. Nikolaos Panigirtzoglou, a JPMorgan’s crypto expert, said Ethereum gained its appeal as a system where developers can build decentralized apps and smart contracts. Unfortunately, the feature is easily replicated.
Panigirtzoglou said, “it’s not unique. You’re already seeing competition from Binance, competition from Solana. And there are going to be more in the future.”
Panigirtzoglou used the JPMorgan database to research on Ethereum hashrate and the number of unique addresses. The number was not good. Ethereum might suffer decreased usage and traffic on its systems.
Ethereum Price: Will It Still Recover?
Any long-time investor of cryptocurrency should know there are no guarantees in the market. Massive gains are still possible in Ethereum. However, most analysts agree that ETH will have further losses in the coming months.
FXS used the bearish Ichimoku conditions to analyze the Ethereum market condition. They said Ethereum trading might reach the lower extremity very soon. Ethereum must then hold value close to $3,000 levels to survive.
If market conditions recover, Ethereum must hold values at $3,350 levels. Doing so gives investors a chance to trade at $3,500 levels. Ethereum officially regains its markets if it trades at the $3,990 marker. Experts say it might take until the beginning of October for that to happen.
It is important to analyze this available information with a grain of salt and some level of suspicion. Cryptocurrency markets are highly volatile, so there is no guarantee that all Ethereum forecasts would prove true. Instead, use this information as market indicators with ongoing trades in Ethereum.
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