- History shows that the price of Ethereum may chart a new price rebound after hitting new lows.
- Sentiment is generally mixed, as some industry leaders are not bullish on ETH.
The price of Ethereum (ETH), alongside other top cryptocurrencies, has dropped below key levels. Despite the negative market outlook, experts have predicted that Ethereum could hit the $7,000 record this year.
Favorable Upsides for Ethereum
According to Marketcap data, Ethereum has fallen over 6% over the past 24 hours to trade at $1,461. The price of the second-biggest asset bounced a few days before reaching key support, which is also the 2018 high. This move indicates Ethereum is trading at generational lows and, therefore, close to the bottom of the prevailing bearish action.
Ethereum has demonstrated resilience for a while, reflecting its sustainability to maintain a healthy upswing. However, Ethereum last tested the 2018 highs in March 2023, suggesting that price bottoms are already here. In addition, the weekly Ethereum chart hints at a potential price reversal, which may ignite a decent ascending trend.
A key point to note in Ethereum’s weekly chart is the Relative Strength Index (RSI), which has fallen to lower levels. Specifically, the weekly RSI dropped to 30, similar to during the bottoms of 2018 and 2022. This suggests Ethereum is primed for a possible rally.
Secondly, the price of Ethereum has dropped below the ETH realized price of $2,000. This is another reason to expect bullish outcomes from Ethereum. The current price slipping below the realized price is a rare event that has occurred just once. This scenario last occurred in March 2020, when the ETH price dropped from $283 to $19.
History is also expected to repeat, with the event repeating in the current cycle. Experts think this could trigger a huge ETH bull run towards a new all-time high, probably above $6,500 to $7,000.
In the short term, ETH dropping below $2000 hints that so many eyes are watching it. Furthermore, Ethereum has seen a drop in active addresses, lower fees burnt, and a supply bump post-merge, all pointing towards waning interest.
Not Time for an Ethereum Upsurge?
Historically, dips like the current one usually set the stage for major price rebounds. This presents a huge Ethereum buy zone, with an average run-up after past drops of over 200%.
Thus, the price of ETH could soon see an explosive breakout. Experts predict that Ethereum may rise close to a five-digit figure soon.
Meanwhile, Ethereum‘s recent price dip has many wondering if a further fall is inevitable.
In a previous article, we discussed Bloomberg’s Senior Macro Strategist, Mike McGlone, who raised concerns about Ethereum’s direction. He remarked that a further decline in ETH could signal broader financial market weakness.
Furthermore, market expert Peter Schiff said Ethereum will continue its downtrend. As featured in our recent coverage, Schiff predicted that Ethereum could trade below $1000 within a short period.
