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What to Expect for Ethereum Price in July Based on Historical Trends – Crypto News

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2 years ago

June 30, 2024

Dripp

June Month was notably bearish for the cryptocurrency market with many assets revisiting their monthly support. Amid the market sell-off, the Ethereum price plunged from a high of $3887 to a low of $3232 registering a loss of 16.9%. However, the downfall lies within the healthy retracement of Fibonacci tools indicating a strong could allow ETH bulls to counterattack.

Also Read: Crypto Market This Week: Ethereum ETF, FOMC Minutes, US Job Data & Trade Deficit

Ethereum Price Eyes Stability as 78% of ETH is Held by Long-Term Holders

BITSTAMP:ETHUSD Chart — Ethereum Price| Tradingview

The near-term trend in Ethereum price is sideways evidenced by a new lower high formation at $3975 in late May. This reversal indicates the overhead supply is high from market sellers and ETH buyers would need time to recuperate its momentum.

Connecting the overhead peaks with a trendline reveals a potential triangle formation as the altcoin has also received dynamic support from an ascending trendline since October 2023.

The Ethereum price currently trades at $3389 and holds a market cap of $407.3 Billion. If the supply pressure persists, the coin price could plunge another 5% to seek support at the long-coming trendline.

The renewed buying pressure from the trendline could uplift the asset by 14-15% and challenge the triangle’s upper boundary at $3860. A bullish breakout from the triangle pattern will signal a better confirmation of uptrend continuation.

Also Read: ETH/BTC Pair Poised for Breakout as Ethereum ETF Launch Approaches: What’s Next?

In a recent tweet, the prominent crypto analytics firm IntoTheBlock revealed a striking statistic: 78% of Ether is currently held by long-term holders. Despite the volatility in Ethereum’s price, the proportion of ETH held by long-term investors has steadily increased, indicating a strong belief in the asset’s future value.

78% of ETH is owned by long-term hodlers pic.twitter.com/9vb5kaUIar

— IntoTheBlock (@intotheblock) June 28, 2024

Ethereum’s price performance in July has exhibited a mix of gains and declines over the past several years, reflecting the broader market’s volatility and investor sentiment. The biggest gain was +56.62% in 2022, while the largest drop was -27.29% in 2017.

On average, July has a positive return of +6.95%, though the median return is -4.41%, indicating mixed performance.

However, with the ongoing development around U.S-listed Ethereum ETFs, anticipated to launch around mid-July, the odds strongly lean on buyers’ favor.

Technical Indicator

BB Indicator: An upswing in the lower boundary of the Bollinger Band indicator losing bearish momentum and additional support for buyers to rebound.
Moving Average Convergence Divergence: A negative crossover between the MACD and signal line highlights the near-term trend is intact and bearish.

Frequently Asked Questions (FAQs)

A3: Long-term holders, who currently own 78% of Ethereum, play a crucial role in its market stability. Their sustained investment indicates a strong belief in Ether’s long-term value.

The anticipated launch of U.S-listed Ethereum ETFs could significantly influence ETH price by potentially increasing buyer interest and investment. This development is expected to provide easier access for a broader range of investors.

The Fear and Greed Index measures investor sentiment in the market, which can be a useful indicator for traders to gauge the general mood among market participants.

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