ETH Hits 7-Month Low at $1,528 Amid Bearish Pressure

Ethereum (ETH), the second-largest cryptocurrency by market capitalization, reached a seven-month low of $1,528 recently.

ETH has been subject to intense bearish pressure over the past three months, resulting in a sustained downward trend. Early in October, despite a brief attempt by bulls to push the price above the $1,750 resistance level, the momentum proved to be fleeting.

ETH is trading at $1,543, a 2% decrease over the past 24 hours. During the same period, trading volume increased by 5%, reaching $5 billion.

Multiple factors can be attributed to ETH’s recent decline. The ongoing conflict in the Middle East, in which Hamas launched a surprise attack on Israeli towns in the south, has affected crypto market sentiment.

And the September FOMC meeting, which occurred on October 11th, has increased uncertainty.

Regarding social media activity, the crypto data aggregator Santiment reports a rise in Ethereum-related conversations on platforms such as X, Discord, Telegram, Reddit, and 4chan since late September.

Age consumption has also increased, indicating that previously dormant ETH is now in motion. This increased social dominance is probably attributable to the bearish price performance.

The British multinational bank Standard Chartered has a bullish outlook on Ethereum. The bank forecasts that the altcoin’s value could reach $8,000 by 2026, a 400% increase from its current level.

Geoff Kendrick, the firm’s head of FX and Digital Assets Research, added, “We believe the path higher for ETH prices will be longer than for BTC, but we foresee ETH reaching a higher price multiple than BTC relative to current levels (5.0x versus 3.5x).”

A closer examination of Ethereum’s current price fluctuations reveals a bearish trend. At $1,643, the 50-day exponential moving average (EMA) has surpassed the current trading price. In addition, the daily relative strength index (RSI) is 35, indicating that Ethereum is nearing oversold territory.

The next potential testing point is $1,435, as the $1,585 level of support has already been broken. Price could test the $1,140 support area if it continues to decline.

Conversely, if bulls can push the price above the $1,645 resistance level, a rally toward $1,735 could be on the cards.