Ethereum Price Struggles Amid Market Challenges and Trump’s Tariff War
Ethereum Price – Since Eric Trump’s tweet in January, where he encouraged his 5.7 million followers to buy Ethereum (ETH), the token has lost almost half of its value. As of March 31, ETH was trading at around $1,820, marking a 40% drop from the price when the tweet was posted. Additionally, Ethereum’s market share has fallen from 10.28% to 8.39%, the lowest level since 2020.
External Factors Weigh on Ethereum’s Price
Several market factors have compounded the impact of Eric Trump’s comments. One significant event occurred on February 21, when the Bybit exchange was hit by a major security breach, losing about $1.5 billion in Ethereum. Furthermore, President Trump’s trade war with China, Canada, and Mexico has also affected market sentiment, particularly following the imposition of 25% tariffs on auto imports, which are set to go live on April 3.
Market Sentiment and the Ether Price Outlook
In terms of future price predictions, Michaël van de Poppe, co-founder of MN Consultancy, doubts a price rebound for ETH in the near term. He suggests that the ETH market may find a bottom around $1,500 if the price follows a bear flag pattern, which could push ETH down by another 20%. This technical pattern typically forms when the price stabilizes after a sharp decline and may result in further downside.
Potential for a Price Rebound
However, there’s still hope for a price rebound. If ETH manages to hold at $1,800 and experiences a sharp recovery, a double-bottom pattern could emerge. This would signal a possible price rise to $2,500, representing a 35% increase from current levels. The key resistance for this pattern is around $2,094, and breaking above it could signal a stronger upward trend.
In conclusion, while Ethereum faces a tough road ahead, particularly with ongoing market headwinds and external pressures, the potential for a rebound remains if technical indicators align.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
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