The price of Ethereum (ETH), the second biggest crypto project by market cap, has dropped in the last 24 hours according to CoinMarketCap.
ETH currently hovers at $1,755.02, which is an approximate 6.98% price dip since the past day. This 24-hour price performance of ETH is added to its price drop over the last seven days. To note, the price of ETH has dropped just over 10% over the past seven days.
ETH price drops below the 20 MA line Source: Trading View
The monthly chart for ETH/USDT shows that the price of ETH has dipped below the 20 Moving Average (MA) to reach a low that was first set in March 2021. The current level is significant because it has played a role in ETH’s price movement on the monthly chart multiple times.
The first time that this level ETH reached this level was back in February 2021 when it acted as a resistance level. ETH then broke past the level to soar to $2,500 before retracing back down to $1,754 – the level at which the ETH is now.
Besides the current bear market, the expected reasons for the ETH price shed might be due to decreased DeFi activity on its blockchain. Importantly, the largest DeFi protocol on Ethereum— Aave— lost 15% value over the past month.
What’s more, as analysts say, this price dip of ETH is a pullback before a strong bull rally that might be ignited by ETH 2.0’s launch.
Disclaimer: The views and opinions expressed in this article are solely the author’s and do not necessarily reflect the views of CoinQuora. No information in this article should be interpreted as investment advice. CoinQuora encourages all users to do their own research before investing in cryptocurrencies.
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Source: Cryptocurrency - investing.com
