Despite the success of testlia Seplia, the price of Ethereum continues to fall. What levels to monitor? What can we expect in the coming weeks? Elements of response.
Successful big test network
The Ethereum blockchain is about to go through a major update. This will allow the network to move from proof of work (PoW) to proof of commitment (PoS). Among the benefits of this move, let us know that the gas charges it will be limited and increase the scalability, and security, of the network.
If this update is scheduled for the end of 2022, various tests have been done to test the various modifications planned, before they are implemented on the mains. After Ropsten, the Seplia test network successfully implemented from 2 to 8 July.
Despite this progress, the price of ETH remains volatile
Following the successful Sepolia testnet, Ethereum’s price went through a bullish interlude from July 4 to 8. This rebound is projected to $ 1278. However, since then, ETH has started again downward trend and did not close over $ 1300. This incompetence frightens many observers into a new episode of demobilization.
Ethereum is trading, at the time of writing, at $ 1244 after Loss of 10.50%. collected from 8 July. Since it was very high in November 2021, Ethereum fell 76.7%. Today, the signal is heading to a fourth daily close in the red.
Compression triangle at the end of the race
For the past two weeks, Ethereum has been trading between $ 1018 and $ 1276. From June 20, an upward compression triangle pattern is visible on the price of the signal. If ETH breaks below the $ 1120 level, it will trade break down this figure. So, we can expect the price of the token to drop to 1020 dollars.
On the other hand, if a rebound is observed at the bottom of the channel of this compression triangle, the price of Ethereum could look for a level of 1300 dollars.
Ominous double top figure
In addition, the price of Ethereum made a so – called double – digit top figure, in four hours. This is a pattern that can warn of an impending bearish reversal.
The downward trend is confirmed if, in this case, the price of an asset falls below the apex of this model. For Ethereum, it will be 1017 dollars.
Levels to watch in the coming days
If the price of Ethereum crosses below the level of 1120 dollars, this will confirm the rupture of the compression triangle and thus a reversal after the relative lull from June 30 to July 8.
In addition, if this decline continues to the 1017 dollar level, we may fear a possible downturn in the $ 875.
Keep in mind that the last updated Ethereum 2.0 testnet on Goerli is yet to come. If it ends in success, the price of Ethereum could recover. It remains to be seen how long this will last.
Whatever, the future of Ethereum is still very promising and The Merge emerging to revolutionize the network and its features. Continuing the downward trend in ETH price can therefore be a great opportunity for the buyer who is unsure about the potential of the blockchain, reloading.