ETHEREUM TRADES IN NARROW RANGE AS IT LACKS A CATALYST
This month, the price of Ethereum declined to a YTD low of $157 – a continuation of the bearish moves that the cryptocurrency has made this year. At its peak, the price of one ETH was $1380. Then, it had a market capitalization of more than $120 billion. After last week’s decline, the price started to move up and reached a high of $215. This week, the price started going down and yesterday, it reached an intraday low of $181. This brings its total market cap to just $20 billion.
In the past few days, there has been no major news in the cryptocurrency market. The recent moves are associated with the reduced optimism about the role of ETH in the future. Two weeks ago, TechCrunch published an article which stated there was no major use case for ETH in the development of applications.
In general, the cryptocurrency industry has lost favour with some investors who believe that it is not delivering the intended promises. This has seen the price of cryptocurrencies lose market value. At their peak, cryptocurrencies were worth more than $800 billion. Today, they are worth about $200 billion. This makes the crash bigger than the dot-com bubble.
The ETH/USD pair is now trading at 202. This is lower than the weekly high of 215. The current price is within the narrow range it has been trading in over the past week. With no major news in the cryptocurrencies industry, the ETH/USD pair is likely to remain in this range as there are no catalysts to take it higher.