Despite the latest corrections, fundamental indicators show that Ether might maintain its bullish attitude.
After its highest value in May, $4,384, ETH decreased by over 40% as of 1st June.
The drastic decline by the second-leading crypto had market players predicting more declines. For example, ADVFN CEO Clem Chambers views the current ETH/USD dip as an echo of the 2018 crypto crash after an approximately 24,000% bullish run. What are your thoughts on that?
True enough, Ethereum has been struggling after achieving its highest value. Keep in mind that ETH ranks second after BTC in the market cap. However, despite the pessimistic events, here are some indications that Ether would recover.
July Network Upgrade
If you have been biasing when talking about Ethereum for now, you have a month to go. The crypto platform plans a major upgrade in July.
This upgrade aims to get rid of the major issue affecting the ETH network, high transaction charges. Ethereum network plans to bring a base network charge to replace its first-price-action charge model. The new model would fluctuate depending on Ethereum’s demand. Eric Conner and Vitalik Buterin project that the new upgrade would ensure efficient market charges and simplify gas payment procedures.
Decrease Ether on Crypto Exchanges
Even with the 40% crash, Glassnode statistics show that ETH continues to decrease in crypto exchanges. The data indicates a 5.75% drop. The consistent Ethereum withdrawals show two things: traders holding the crypto hoping for higher returns in the future and depositing the coins in the DeFi liquidity pool for continuous interest rate profits.
Technical Breakout
On technical structures, two independent crypto analysts forecast a bullish trend in the Ether prices. PostyXBT sees ETH-USD performing in an increasing triangle pattern, the initial concrete setup after ETH/USD’s correction to $3,590 from $4,384.
Mostly, you will witness the triangle pattern when there’s a bearish market correction. It might lead to a downside continuous breakout. However, PostyXBT anticipated ETH to keep the triangle move, as the coins target its resistance level for a bullish attitude.
Do you think that Ethereum will witness any bullish ran soon? You can leave your comment in the section below.
