Ethereum News: Analyzing ETH’s Price Movement and Future Prospects

As the cryptocurrency market continues to experience volatility, investors are closely monitoring the price movements of major coins like Ethereum (ETH). Recent developments have raised questions about whether ETH has bottomed out after dropping below the $2,000 mark. Here’s a closer look at the current state of affairs and what the future might hold for Ethereum.

Ethereum Price Prediction: Has ETH Bottomed Out?

On March 10, the price of Ethereum (ETH) dropped below $2,000 and has struggled to regain this level. Currently hovering around $1,800, questions arise about its next move. While Bitcoin exhibited minor recoveries over the past 24 hours, Ethereum failed to display bullish momentum. Data analytics platform Glassnode explained how the Cost Basis Distribution (CBD) metric can help identify potential support levels for ETH, revealing how many coins have a ‘cost basis’ around each price level and where key support and resistance clusters might form. Based on a weekly outlook, Ethereum recently dropped below $1,880.

Ethereum Drop: Analyst Predicts Correction to $1,400

An analyst predicts a correction in Ethereum’s price to $1,400, similar to 2020. However, there is also a bullish forecast predicting ETH will reach $10,000 this cycle, representing a 530% increase from its current price of around $1,880. This forecast is based solely on technical indicators and ignores fundamental factors. Currently, Ethereum is experiencing massive outflows from ETH ETFs amounting to $22 million, with the iShares Ethereum Trust from BlackRock being one of the most affected. Recent decisions by the Ethereum Foundation indicate strategic repositioning, but it remains unclear if these adjustments will reassure investors.

Justin Sun Asks About Ethereum’s Recent Changes

Crypto leader Justin Sun, President of Liberland and Founder of Tron, recently tweeted asking what happened to Ethereum. The question sparked discussion in the crypto community, with key responses explaining the challenges Ethereum is currently facing. Before Ethereum’s recent upgrade, Layer 2 (L2) networks were major buyers of ETH, using it for transactions and token burns, which reduced Ethereum’s overall supply and strengthened the network. However, after the upgrade, L2s have started selling more ETH, changing the market dynamics for Ethereum.

Holesky Testnet Achieves Finality Following Pectra Upgrade

Ethereum’s Holesky testnet finally achieved finality two weeks after the Pectra upgrade went live on February 24. The testnet developers have reported that the complications that delayed the process are now fully solved. However, its sister testnet network, Sepolia, faced issues in achieving finality on the Petctra upgrade following an exploit on March 5, which is now resolved. On March 10, at around 19.00 UTC, the Holesky testnet developers announced that all transactions on Holesky are now Immutable and irreversible.