Unfortunately, Ethereum did not have a great month. Many optimists thought that September would mark the beginning of a fresh Bull Run, but reality was far more sobering. Reports surfaced that whales were transferring their ETH holdings to exchanges ahead of a potential massive selloff. As soon as the merger was finalized, this happened, and the price dropped by 12 percent within six hours.
Investors were unimpressed despite a smooth transition and an 18% increase in throughput. Post-merger price stability was short-lived, as the price scarcely recovered. Only now, 20 days later, does it appear that ETH is really starting to take off.
A new level of support has been introduced.
There appears to be a new floor for ETH at $1,260. Although bearish for long-term holders, the asset’s price stability and reduced volatility suggest it is accumulating ground that could be put to use getting ready for the next Bull Run, which could come sooner than anybody currently anticipates.
There was a lot of good news in the cryptocurrency business, but much of it concerned Ethereum’s rivals. Both Cardano and Algorand have recently unveiled new relationships with major corporations and released upgrades that increase functionality or provide the groundwork for further enhancements. Polygon, the major center of interest for many brands including FIFA, Nike, Starbucks, and many more, countered these tales with intriguing announcements.
Since there have been no new contentious events in the Ethereum community (the rift over the issue of reversible transactions has no bearing on pricing), ETH has been able to stabilize and even begin to trend higher. The asset has been steadily rising since September 20 and has now struck a new monthly low of $1,219, which appears to be the bottom.
There is cause to hope that Ethereum will begin to recover
Ethereum (ETH) is the second largest cryptocurrency by market cap and, like Bitcoin, doesn’t appear to have a lot of downside. Benjamin Cowen’s worst-case scenario for ETH, which he predicted in August (around $400), now appears improbable. The price leveling off can be an early indication of a recovery in the asset’s fortunes.