Ethereum, like other major cryptocurrencies has seen a drop in price today, plummeting by a huge ten percent. Despite the fall, an analyst at ETH news does believe that the second most popular cryptocurrency could rise again, saying;
“In the weekly analysis, we discussed the importance of the $500 support in ETH/USD. The pair failed to hold this level and declined further…Looking at the 30-minute chart of ETH/ISD, there was a clear bearish break below a horizontal support at $518.00. As a result, there was a sharp drop and the price broke the $510 and $500 levels…On the flip side, the recent low of $477.31 may act as a decent support, the next buy zone being around $450. Overall Ether could consolidate in the short term but it remains at a risk of more losses until there is a break above $515.00”.
The price dip is likely to be because of the news that Twitter is joining Facebook and Google in the banning of cryptocurrencies on their popular sites. This ban, also includes the advertisement of crypto-exchanges. The main reason for these bans taking place is to prevent hacks, which have seen millions of cryptocurrency stolen from high profile exchanges, but the news of this further ban has really affected the value of cryptocurrencies, and unfortunately Ethereum has not escaped this.
In fact, earlier on in the month, it hit the lowest price it had since late last year, and has consecutively a forty percent decline every single month.
Although there is hope that the cryptocurrency could pick up in value again throughout the year, experts have warned that it might have to get worse before it gets better, and when price of Ether falls below $500, just like the present, it could call for more losses, and hit a new low of $300.
Only time will tell what the fate of Ether is. Watch this space.
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