Ethereum, the largest altcoin, may be able to take a jumpy ride despite the hype surrounding the upcoming Merge. Well, Ethereum again failed to settle above the $1,620 zone.
Do you believe me?
The flagship coin had quite the journey on July 24, jumping above $1,640 before falling back to $1,540.
Pending Merge, the crypto market expected ETH to break above the current resistance of $1,620. But at press time, ETH was back in the negative zone. hence, tThe trading crowd refrained from believing the hype surrounding Merge.
The public even expected prices to drop for the price FOMC meeting as evidenced by the grim scenario in the chart below. ETH’s weighted sentiment fell into “super” negative territory at the time of writing.
In the current market structure, traders are pessimistic about ETH’s chances of showing a price increase.
For context, in the upcoming meeting (Fed’s FOMC), 78% high yields are expected at 75 basis points and 21% at 100 basis points. In addition, the US GDP Growth Rate QoQ Adv Q2 and June Core PCE Price Index will also be released this week.
Meanwhile, on July 25, Ethereum’s seven-day average gas fee hit 25,825 Gwei, a year-old low.
On July 24, the minimum gas fee was reduced to 3 gwei, the press time gas fee was 4 gwei, while the ETH transfer fee was $0.51 and the ERC20 transfer fee was $1.
This illustrates the declining demand for ETH.
In addition, the total value tied up in DeFi smart contracts fell below $50 billion from $98.4 billion. According to DeFiLlama, the DeFi dominance of the ETH blockchain is declining.
In addition, the decline in NFT sales raises a similar concern.
Nevertheless, ETH holders continue to show confidence despite the bearish market signals. In fact, at the time of printing, the number of non-zero addresses reaches an all-time high (ATH) of 84,381,102 on Glassnode.
This post What about Ethereum traders now after ETH lost the $1,620 level?
was published first on https://ambcrypto.com/what-of-ethereum-traders-now-that-eth-lost-the-1620-level/