Ethereum continued its month-long decline, losing another 7.25 percentage points in the last 24 hours, according to coinmarketcap.com. While today’s loss was reflective of the cryptocurrency market as a whole, it was slightly worse than bitcoin’s, which lost 5.71 points.
All cryptos lost ground today with few exceptions. The largest player to escape the trend was FirstBlood, the 36th largest crypto in market capitalization, posting an 8.55-point gain.
Ethereum’s price has lost nearly 50 percent of its value in the last two weeks, falling from $282.31 on July 4 to $189.86 on July 14. Its losses have been bigger than bitcoin’s, which has extended its dominance of the total bitcoin market largely at Ethereum’s expense.
On June 19, when Ethereum had a $371.51 price and a market cap of $34.41 billion, it had narrowed the gap with bitcoin, commanding 30.64% of the total crypto market compared to bitcoin’s 37.83%. As of July 6, Ethereum was no longer gaining its share of the total crypto market. Ethereum held 24.62 percent of total the crypto market while bitcoin held 42.36 percent. Today, Ethereum holds only 22.65% of the total market compared to bitcoin’s 47.14%.
Despite the declines of the last month, the extent of the losses has softened and the long-term picture for the crypto market is viewed favorably.
Both bitcoin and Ethereum prices stabilized after Tuesday’s plunge, slowing the widespread market decline and enabling some coins to experience moderate recoveries. The Ethereum price ticked upward on Wednesday, shaking off–at least temporarily–its prolonged decline.
Also read: Ethereum prices trade at support levels after tricky waters
Ethereum had been leading the market lower last week, as the strong decline in small cap coins weighed heavily on the token. ETH fell back below the key $200 level, but it finally showed short-term relative strength, and held up above the correction lows as well. The coin is still well inside its correction pattern and only a move above $235 would signal a short-term trend change. That said, the almost 60% correction, and the now slightly oversold long-term picture points to a possible long-term bottom.
Ethereum prices followed the trading pattern of nearly all digital currencies making highs in early June above $400 per coin. It is an acceptable expectation that the Ethereum coin has a pullback under $200.
Nicola Duke, a Forex Analytix technical analyst who uses historical price data to determine future price movements, predicted in late May that Ethereum, which was still on an explosive growth path, could experience a 38.4-point fall from its then $227 price.
Looking at a longer term, Ethereum’s price has remained well above the lower teens which it held all year up until beginning the fast climb that began in March.
Last modified: March 4, 2021 4:58 PM