Ethereum’s Its price has worried investors throughout August due to intense volatility. There is high hope for a recovery from September, but many onchain and chart analyses suggest a different direction. Ethereum’s price, which is below $2,800, may continue to do so for the foreseeable future. It could even rise to $2,900, but this could be the limit of the altcoin leader’s rise in September.
What’s Happening on the Ethereum Front?
This is because experts are predicting a relatively bearish-neutral outcome for Ethereum. According to Bitget Wallet COO Alvin Kan, there is a possibility that Ethereum holders will take action to sell their assets. Recently Ethereum Foundation As part of his 2024 budget, he transferred 35,000 Ethereum to Kraken, signaling a sell-off worth around $94 million. Kan made the following statement on the subject: A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
“This move has caused alarm among whale investors and they may choose to sell beforehand.”
This selling action may be due to the FUD or panic it creates. Also In Cryptoquant Julio Moreno, Head of Research, highlighted a larger concern in a special statement:
“One thing we have been noticing is the evolution of Ethereum’s total supply and its relationship to network fees. Ethereum’s total supply has been steadily increasing since early April, shortly after the Dencun upgrade. The total supply currently stands at 120.313 million Ethereum, the highest level since May 2023. This increase in supply represents 53% of the decrease in Ethereum supply since The Merge in September 2022.”
Ethereum Chart Analysis
In the next few weeks Ethereum’s The price could witness a mix of decline and recovery. Currently, Ethereum is trading at $2,471 and the macro price action along with the above-mentioned factors indicates a drop to the lower trend line at $2,300. A rally from this line could start a trend for Ethereum’s price and take it above $2,681. Expectations are turning this level into support as Ethereum could prepare for a rally in October.
On the other hand, if Q4 expectations create bullish momentum earlier, Ethereum could rally even higher. A breakout of the $2,930 resistance could also result in a breakout from the descending wedge. This would invalidate the thesis that the downtrend is neutral and could set Ethereum up for a rally above $3,000.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
