thenewscrypto.com
- Ethereum (ETH) price could fall below $2,000 soon.
- Reason for the drop could be, the price broke the trend line on the 4hour price chart.
- The breakdown from the 200-day MA which has been carried from a very long time.
Ethereum (ETH), the second largest cryptocurrency, could fall below $2,000 soon. According to CoinMarketCap, the ETH price is $2,151.22 with a 24-hour trading volume of $21,834,586,839, at the time of writing.
Ethereum price surge is considered as one of the most consistent spikes of all other crypto. Despite the huge dips, the ETH price is able to manage the hard situation. Moreover, the entire crypto space in the last few days shows immense uncertainty. More so, the tiny surge followed by huge dips however has dissolved the bullish pattern for some time.
Possible Reasons For Price Drop
The analyst explains the major reasons for the plunge which represents an overall bearish momentum. Notably, these include that the price broke the trend line on the 4-hour price chart, and the breakdown from the 200-day moving average (MA) which is carried from a very long time.
Moreover, critical long-term support levels at $2160 were destroyed. Also, the trading volume remained higher yet due to the high selling pressure confirming a selling trend. Therefore, a deep drop below $2000 is very likely if the price does not begin with an uptrend.
More so, a popular analyst and founder of CryptoAcademyHQ Justin Bennett sees a possible revisit to $1700 levels also. But the analyst also says that the present trend does not signify the bullish trend cannot resume. As the ETH price still maintains above the November 2020 trend line on the daily chart, it might carry it to $10,000. Furthermore, the timeline for the Ethereum price rally could be extended to 2022.