Ethereum Rebounds after Losing A Third of Its Price In 2022
The Ethereum Foundation coin is making a strong rebound after major setbacks along with the rest of the steep falls that have taken place in the cryptocurrency world this week. Some falls, concentrated since last Friday in just a few hours, provide plenty of food for thought, from which it emerged victorious in the last session, after losing support. So what is the Ethereum price prediction all about? And what price analysts see for the second most popular cryptocurrency in the near future
There was no sign of a floor, on which almost no one was predicting a comeback amid scandalous volatility that has taken us, in the case of Ethereum, from the worst to the best, with a 20% difference. A comeback that has occurred after breaking supports and dropping no less than a third of its price and capitalization from its highs.
Falls for the asset in the market within the uncertainty that is turning everything upside down on account of the Fed’s monetary policy, seasoned by geopolitical tensions in Ukraine on account of Russia and with the negotiation in the making with the United States, this cutback is a further example of the link between cryptocurrencies and the financial markets in general, which in many cases seemed to go hand in hand until now.
Market experts indicate that settlements have been decisive in terms of their exponential nature for Ethereum since last week. We are talking, for example, about no less than 223 million dollars in just 4 hours, already clearly below the initial $3,000 mark that Ethereum easily broke.
As we can see, the market for smart contracts and non-fungible tokens fell sharply, which was reflected in the price of Ethereum. According to coinglass.com those falls even reached, in the period of one day over 1,140 cryptopositions surpassing $416 million. This across the board with Ether particularly hard hit.
All this with rising gas tariffs, which remains the virtual currency’s current workhorse, making its operations exponentially more expensive. In fact, it has more than doubled to peaks of 550 Gwei, as The Motley Fool points out.
An unstoppable current that has been unwinding positions at full speed, with a speed and volatility that is clearly vertiginous and that is surpassing heights. In fact, it marks levels of extreme fear at levels of 13, ever more dangerously close, in this index of fear and greed, to total fear. Now, after a session of double digit recovery, we see it somewhat more contained, at 12, awaiting further developments.
Thus we see how in its price chart, the falls of the last week exceed 24%, while in the preceding month they exceed 41.1%. It maintains its half-yearly advance of 11.6% and, so far this year, Ethereum has fallen against the dollar by 35.52%.
With all this succession of falls, new forecasts for its price have not been long in coming. At https://redot.com/, they believe that Ethereum has shown significant strength by dropping from the support level week to week at $3,051.24 in the first days of 2022. The platform predicts that Ethereum will average a price of 3385 this January. By the end of 2022, Redot.com predicts it will reach $5524.
Already from DigitalCoinPrice they point out that Ethereum’s outlook will be bullish in 2022 and therefore that it can reach $4,033.03 per asset. Investingcube predicts that Ethereum’s outlook for 2022 is bullish. According to the platform, if ETH maintains its 2021 rate of increase, it could easily reach $10,000. According to PricePrediction, this year Ethereum’s price is expected to hit a low of $4358.51. As we can see none of them are bearish in their consideration.
However, from iTechPost they do not give any prediction for the end of the current year in the price of Ethereum because they consider that there will be more volatility in the currency than there will be in Bitcoin.