Ethereum (ETH) has fallen below $1,000 for the first time in more than a year as the broader crypto market continues to slide south, with no quick fix, or at least not yet.
Ether (ETH) was one of the cryptocurrencies that performed particularly poorly, falling 7.32 percent in the past days after bitcoin’s losses. The second largest cryptocurrency by market cap is currently selling at $950, down 37.4% over the past week.
Examining the entire bitcoin market over the past two weeks shows that its entirety is falling. The decline has deepened over the past week, wiping nearly $300 billion off the market cap of all cryptocurrencies.
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Ethereum loses more than half of its value in 7 days
However, it is not just crypto that is experiencing a major beat-down. Wall Street is also clueless, as the S&P 500 is down 4.25 percent over the past week. During the same time frame, the Dow Jones Industrial Average fell 4 percent, while the Nasdaq fell less than 2 percent.
As is normal when bitcoin declines, so do alternative cryptocurrencies. This downside was led by Ethereum, which fell below $1,000 for the first time since January 2021. In about seven days, ETH has lost more than half of its value.
In reaction to concerns about the US central bank’s 75 basis point rate hike – the biggest increase in the past three decades – both cryptocurrencies and stocks experienced a severe bear market.
ETH total market cap at $117 billion on the weekend chart | Source: TradingView.com
Following a similar daily decline, BNB also fell below the $200 round-number range. Cardano, Solana, Ripple, Dogecoin, Pokadot, Ciba Inu and TRON, to name a few, are facing more difficulties.
More pain in the offing?
Analysts have warned that additional losses are on the way. He said the Federal Reserve has just started raising interest rates and has yet to sell 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 – for the month of May coming in at 8.6 percent, which has an impact on the continued volatility of cryptocurrencies. Is kept.
Technically, the price of ETH should reclaim $1,000 as its psychological support; If this level turns negative, the coin could target $830 as its next objective.
In February 2018, the same level acted as resistance, falling 90% in December 2018 to around $80.
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Featured image from Futurity, chart from TradingView.com