- Ethereum price may witness a slight recovery within 48 hours.
- However, a relief rally may not be possible.
- Some claim that the ‘buy the rumor, sell the news’ mentality is playing out.
In the wake of Ethereum’s successful transition into Proof of Stake (PoS), ETH price may have a slight recovery within 48 hours.
For a better perspective, ETH’s price movement has been underwhelming at best after The Merge has completed without any bugs reported to the greater crypto community.
While other cryptocurrencies are also witnessing a downtrend, Ethereum is much worse. Since last week, Ethereum’s price is down by almost 10%, while Bitcoin is up by 2.3%. What is more, the current crypto market’s total valuation is only $1 trillion, as per CoinMarketCap.
However, as mentioned above, ETH may see a price recovery in the next 48 hours. Specifically, the Relative Strength Index (RSI) shows that ETH is oversold. Also, during the last downtrends, ETH has shown that it can bounce back almost immediately.
ETH RSI (source: TradingView)
As shown by the chart, ETH has bounced back after a day or two of being oversold. Should the current market follow the previous trends, ETH may bounce back to $1,900 before encountering another pullback.
Some well-known traders and analysts also claim a similar movement, although no one guarantees a bull run anytime soon.
CNL reported a few days ago that Ethereum has been witnessing a weakening price rally in anticipation of The Merge. Some believe that the ‘sell the rumors, buy the news’ mentality has played out and that ETH may be in danger of going to as low as $900.
Disclaimer: The views and opinions in this article belong to the writer alone and they do not necessarily reflect the position of CryptoNewsLand (CNL). No information in this article, whether expressed or implied, should be taken as financial advice. Remember that investing in cryptocurrency poses significant risks to your asset. Hence, CNL strongly recommends all readers perform their own in-depth research before investing in cryptocurrency.
