Ethereum (ETH) Hammered To $950 As Crypto Selloff Gets Deeper
Ethereum (ETH) has fallen below $1,000 for the first time in over a year as the broader crypto market continues to slide south with no quick cure in sight, or at least not yet.
Ether (ETH) was one of the cryptocurrencies that performed particularly poorly, falling 7.32 percent in the past day due to the loss of Bitcoin. The second-largest cryptocurrency by market cap is currently selling for $950, down 37.4 percent from the past week.
If we examine the bitcoin market as a whole over the past two weeks, it turns out that it has gone down altogether. This drop has deepened in the past week, wiping nearly $300 billion from the market value of all cryptocurrencies.
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Ethereum loses more than half of its value in 7 days
However, it is not only crypto that is experiencing a major defeat. Wall Street is also in disarray as the S&P 500 fell 4.25 percent in the past week. During the same period, the Dow Jones Industrial Average fell 4 percent, while the NASDAQ fell sharply by less than 2 percent.
As is normal when Bitcoin goes down, so do alternative cryptocurrencies. This negative trend is led by Ethereum, which has fallen below $1,000 for the first time since January 2021. In about seven days, ETH has lost more than half of its value.
In response to concerns about the US central bank’s 75 basis point rate hike — the largest hike in the past three decades — both cryptocurrencies and stocks faced a severe bear market.
ETH total market cap at $117 billion on the weekend chart | Source: TradingView.com
After a similar daily decline, BNB also fell below the $200 mark. Cardano, Solana, Ripple, Dogecoin, Pokadot, Siba Inu, and TRON, to name a few, are experiencing more difficulties.
More pain ahead?
Analysts warn that more losses will follow. They stated that the Federal Reserve has just started raising interest rates and has not yet sold any assets off its balance sheet.
The US Bureau of Labor Statistics also released data for the Consumer Price Index (CPI) – a metric used to measure inflation – which stood at 8.6 percent for the month of May, impacting the ongoing volatility of cryptocurrencies. .
Technically, the price of ETH should reclaim $1,000 as psychological support; if this level is crossed to the negative, the token can target $830 as its next target.
In February 2018, the same level acted as resistance, prior to a 90% decline to about $80 in December 2018.
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Featured image of Futurity, graph of TradingView.com