Since the first crash that we saw on Ethereum right after the all time highs, when it dropped from $4,954.16 to $2,622.43, we saw in pace where it regained some strength, but that all came to a quick end when it started free falling again on the 19th.
When the support level of $2,622.43 was broken, there was essentially nothing stopping Ethereum from dropping all the way to $2,115.55 which was the next major support level for the market at that point. We did end up seeing this level not only get reached, but we saw it completely rip through the level with no resistance at all, and now it’s heading for the next target.
The next, and possibly the most important support level we will have in this market cycle is $1,385.51. Any price below that will essentially give us 4 year lows, which is EXTREMELY unlikely if you consider historical performance and apply it to what we are currently seeing in the crypto markets. But going to the level might still be very much possible, meaning that we could see a drop well below $1,500 which would put us at over a 200% gain away from all time highs.
Fundamentally, most individual traders and institutions are still bearish on most cryptos, and they believe that we might even see Ethereum, drop below $1,000 which is an extremely low probability situation, but anything is possible.
The best case scenario would be to wait for Bitcoin to make its signalling move that the bear market is over. This move would probably be a few month long consolidation which will more than likely be an upward consolidation or a small uptrend before we see the spike that will create new all time highs. Once that happens, which might be soon, we will see Ethereum following right behind it to create new highs and go on to create new all time highs.
Nobody really knows how long this will take, that is why it is best to do your own research and come to your own conclusion, as even the best of the best investors don’t know exactly when the bear market will end. Stay away from leverage and don’t panic buy or panic sell. Your best move would be to buy and hold, and ultimately, accept the risk that you take in this.
If I am correct, this will be a very historical moment in the crypto industry, where altcoins and big market cap coins will generate large returns, and break headlines, we will have to wait and see, because for now it seems like the bears are in it to win it.
(Just my opinion, not financial advice)