ETH/USD: TECHNICAL AND FUNDAMENTAL FORECAST ANALYSIS | LONG🔔
Bitcoin , Ethereum , and the rest of the cryptocurrency world continue to tumble from what many viewed as unsustainable levels. Several factors are contributing to the sell-off. Chinese regulators called for regulation into cryptocurrency mining and transaction. US regulators changed tax reporting requirements, and institutional clients drop non-core assets from their portfolios, with cryptocurrencies the primary victim. Most overestimate the appetite of institutions for cryptocurrencies and do not understand the correlation with other assets. Nervousness in equity markets, a combination of lofty valuations and a rise in inflationary pressures, adds to selling pressure.
It is not all bad news, as Ethereum developers work hard to solve the carbon footprint problems, which joined the chorus of downside pressures on the entire cryptocurrency market. Developers push forward to change the present proof-of-work system to a proof-of-stake. It will slash electricity costs by an estimated 99%. It will eradicate one issue, but the high gas prices needed for transactions persist. is likely to remain in place throughout the next few months. While a spike higher is expected, traders should prepare for more medium-term downside until price action can test the 880 to 1,000 support region.
Will bears strengthen their grip on the ETH/USD after a minor reversal and force more downside?