When the crypto crash began, the Ethereum price also fell from its all-time high at $4,850 to a low of $880. When the price fell below the psychologically important mark of $ 1,000, many investors feared that the Ether price would reach even lower levels. However, the course turned directly over the 1K mark again. Today, the Ethereum price has risen by more than 10% after the crypto market is now back in the plus. Does this mean that Ethereum has reached its low point and the price will rise again from now on? Is the purchase of ether recommended at the current price conditions? More about this in this Ethereum price forecast
What is Ethereum (ETH)?
history
The Ethereum mainnet was launched in 2015. The biggest pioneers in the development of Ethereum were Vitalik Buterin, Gavin Wood and Jeffrey Wilke. The market capitalization grew very quickly and it didn’t take long for ETH to become one of the largest projects in the crypto industry.
How does Ethereum work?
Ethereum started with the same consensus mechanism as Bitcoin, the proof-of-work. But now the project wants to switch to proof-of-stake. For Ethereum, this new protocol is called Casper. Unlike Bitcoin, Ethereum has a Turing-complete virtual machine. This machine can be used to develop effective decentralized applications, better known as smart contracts. These programs are stored on the blockchain in the form of transactions. Users should then be able to access the functions of these applications via transactions. Thus, the framework conditions of the program can be changed depending on the logic and situation.
>>Benefit now from the low Ethereum price on Binance<<
Why is the Ethereum price rising today?
Ethereum 2.0 is just around the corner – does the price also notice this?
Vitalik recently gave an update on the state of Ethereum developments. Many people expect that the first step towards the transition to Ethereum 2.0 (aka merge) will happen soon. In fact, there have been successful tests on the test server, and many developers predict that the merge of the mainnet will go smoothly. This gave the community a lot of hope.
Reddit Announces Its NFT Avatar Marketplace
There is a lot of positive news regarding Metaverse projects and interest in Web 3.0 on the part of large companies. So Reddit has just announced the launch of its new NFT avatars. Users will also be able to use these avatars on other platforms. As one might have guessed, Reddit announced that users will be able to use any Ethereum-based NFT as their avatar. This news has also pushed the ETH price further upwards.
>>Benefit now from the low Ethereum price on Binance<<
The Ethereum price is rapidly rising by 10 %
After we were in a bear market, you may be wondering now: Why has Ethereum risen? What’s on? I just sold everything! Well, it’s true that the ETH price has crashed from an ATH of $4,850 to a low of $880. However, in a previous article, we talked about the importance of the $ 1,000 mark. This psychologically relevant level of the course allowed the ETH course to consolidate for a short period of time and wait for positive fundamental news. Now that big companies like Reddit are moving towards Web 3.0 integrations using the Ethereum blockchain, investors pushed back into the market and bought ETH, which logically led to a price increase.
In Figure 1 below, we can see how our previous forecast came true thanks to positive news from the market. This led to Ethereum rising from a price of $1,000 to $1,200 and seeing a performance of 20% within 7 days.
Ethereum Price Forecast – Where will the ETH price still rise?
Now that the price has risen by 20%, we should expect a retracement. If we plot the Fibonacci retracement in Figure 2, we see that the price could fall to $1,116. However, if the market dynamics continue to develop positively, we can assume that the price will also reach the second target of $ 1,400.
