Ethereum Price Prediction as Bulls Defend $1,800 Level – Time to Buy?
The Ethereum price has fallen by 1% in the past 24 hours, dropping to $1,851 amid a market-wide slip caused by rate-hike fears.
ETH is now 2.5% down in the last seven days and 3% down in the past month, although the market's biggest altcoin remains up by 54% since the beginning of the year.
It's likely that today's drop will be short-lived, given that it appears to be caused by a combination of the market correcting itself after big gains and of investor sentiment turning negative in the face of yet another Federal Reserve hike.
And with ETH remaining one of the most fundamentally strong coins in the market, it will sooner or later return to growth, helped by its increasingly deflationary tokenomics.
Despite its falls today, ETH's chart suggests that it could bounce back strongly soon.
After dropping to 30 overnight, the altcoin's relative strength index (purple) has begun rising back up towards 40, in a sign that the market may take the opportunity to buy it at a discount.
Likewise, ETH's 30-day moving average (yellow) has fallen substantially below its 200-day average (blue), a move which will signal a rebound once it bottoms out.
But while a rebound is all-but inevitable, ETH's support level (green) continues to slide downwards today, implying that further falls in price may be likely before the coin corrects itself upwards.
It will therefore be interesting to see if ETH protects its $1,800 support, with a move below potentially setting of an additional cascade of sells.
Regardless, Ethereum's fundamentals remain completely unchanged in the face of today's market-wide dip, which has been caused largely by the threat of the Federal Reserve lifting its base rate by another 0.25 basis points.
On the one hand, Ethereum remains the
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