Ethereum (ETH) price is struggling amid another market shakeout. The second-largest cryptocurrency by market cap fell below the $2,600 support zone for the third time last week, prompting crypto analysts to evaluate the next levels to watch out for.
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Important ETH support zones to watch out for
The crypto market has seen several setbacks throughout the cycle, with cryptocurrencies like Ethereum declining significantly since opening in Q3. Since July 1, the “king of altcoins” has seen a 24% decline from the $3,400 support level.
After falling below the $2,100 mark during the Black Monday crash, ETH fluctuated between $2,300 and $2,700. The cryptocurrency has recovered about 18% of its price and is attempting to reclaim the $2,600 mark.
Nevertheless, recent market shakeouts have seen the price retest the strength of the $2,500 support zone three times in the past two weeks, making experts wary of ETH’s next move.
Renowned crypto analyst Ali Martinez stated that investors should pay attention to a key support zone following Ethereum’s performance. According to Martinez, the price range of $2,300 to $2,380 should be kept in mind if ETH continues its downtrend.
According to the In/Out of the Money Around Price (IOMAP) chat shared by Martinez, 1.62 million addresses in this zone bought over 50 million ETH, making it the next support wall for Ethereum price. If the cryptocurrency fails to hold this level, its price could drop to $2,200 or even to levels not seen since February.
Will Ethereum fall to $1,200 this year?
Other experts believe that the price of the second-largest cryptocurrency could fall even further as “even giants fall.” Top analyst Benjamin Cowen stated that the “ETH/BTC collapse” is almost complete.
A year ago, Cowen predicted that the collapse of the trading pair would “mark the end of the altcoin reckoning.” He explained that “altcoin reckoning” refers to the devaluation of altcoins against their BTC pairs.
The analyst added that ETC/BTC is “the last to rise in the bull market and the last to fall in the bear market.” In his view, this trading pair has four months left before it goes up next year.
In addition, Cowen predicted that Ethereum’s price could reach the $1,200 mark in December if the trend continues similarly to the last two cycles.
Crypto investor Ted Pillows urged investors to hold on during the stormy times and said that $10,000 is still possible. For the trader, the “king of altcoins” is not dead due to several factors.
Ted highlighted that inflows into Ethereum spot ETFs (exchange-traded funds) have increased, while outflows at Grayscale have become increasingly smaller and that Jump Trading only has around $60 million worth of ETH left for sale.
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In addition, ETH is “holding its support level firmly,” which he considered the most important factor. Ultimately, the investor predicts that the consolidation breakout will occur between November and December, while the “parabolic run” will begin in the first quarter of 2025.
Featured image from Unsplash.com, chart from TradingView.com
