Is Ethereum Price at Risk of Losing $3,500, End of Road for Bulls?

Over the past two weeks, the crypto market has been teetering on uncertainty without demonstrating any clear commitment to a specific direction. The main digital assets Bitcoin and Ethereum price represent this indecisive nature with several short body candles on the daily chart.

However, in recent analysis shared by Ki Young Ju, CEO of CryptoQuant, Bitcoin Thermo Cap Ratio was highlighted as an insightful metric for understanding Bitcoin’s valuation relative to its network fundamentals.

The Thermo Cap Ratio, rarely highlighted in conventional analysis, measures miners’ cumulative security expenses (or thermal cap) relative to market value. According to Ki Young Ju, Bitcoin is “currently not overvalued based on network fundamentals despite recent price increases.”

Therefore, the market appears to be regaining its bullish momentum through the ongoing consolidation and could continue the existing recovery soon.

Read too: Top Reasons Why ETH Price Could Hit a New All-Time High Soon

1) Ethereum price heading dangerously

Ethereum stands out as a decentralized platform that not only supports cryptocurrencies like Ether, but also allows the creation and execution of smart contracts and decentralized applications (dApps).

Ethereum (ETH)| Trading view

The price of Ethereum traded at $3,762 on Tuesday, with the market cap at $452.1 billion. Amid current market uncertainty, the leading altcoin has stabilized above $3,700 support.

The daily chart projecting multiple lower price rejection candles at $3,700 indicates that buyers are actively defending support. A potential recovery of this support will push the Ethereum Price by 8.5% to challenge the $4,090 peak and resistance. Note that breaking this barrier is crucial for buyers to resume the prevailing uptrend.

However, if the current consolidation is prolonged, it would indicate weakness in buyers’ conviction, suggesting a potential break of the $3,500 support.

Read too: Ethereum Price Analysis: Can Bulls Push Price to $5,000 on RWA Narrative?

2) Cardano (ADA)

Cardano (ADA) is a third-generation blockchain platform known for its research-driven approach and commitment to security and sustainability. It is distinguished by a layered architecture that separates the settlement and computational layers, allowing for more flexible updates and maintenance.

O Cardano Price has been trading sideways for nearly two months, resonating within two converging trendlines of the symmetrical triangle pattern. The altcoin has recovered twice from the upper limit and three times from the lower limit, indicating that trading is following suit with this pattern formation.

Currently, the ADA the price trades at $0.455, seeking support at the lower trendline. Cardano coin currently holds a market cap of $16.27 billion and maintains its position as the tenth largest cryptocurrency.

Under favorable market conditions, currency buyers are likely to break the general trendline, signaling the end of the consolidation trendline. The post-breakout recovery could take ADA price to $0.62, followed by $0.68.

Read too: Cardano (ADA) breaks a bearish streak, but a big turnaround is coming

3) PEPE Currency (PEPE)

PEPE Currency is a meme-themed cryptocurrency inspired by the popular internet meme Pepe the Frog. This project stands out for its community-oriented approach and its focus on the playful and irreverent culture that characterizes many meme-based digital assets.

PEPE Currency (PEPE) | Trading view

An ascending trendline on the daily chart carries the current recovering trendline into PEPE Price. Coin buyers who witnessed adequate retracement support were able to lift the asset from the April low of $0.00000393 to a high of $0.00001725, recording a 339% gain.

However, PEPE’s price reversed 17% to $0.00001434 with the market correction, while the market cap fell to $6.035 billion.

The coin price near the aforementioned trendline could again bolster buyers with demand pressure. A potential rebound from support will challenge $0.00001725 and target a higher target of $0.00002, followed by $0.000024.

Read too: Pepe Coin Price Prediction as Bullish Sentiment Explodes, Rises to $0.00002?

To remove

The current market consolidation evidenced by the Bitcoin price prediction and sideways Ethereum price action has stalled the recovery momentum for most major altcoins. However, with on-chain indicators like Thermo Cap Ratio, the broader trend remains bullish and is currently stabilizing for future moves. Thus, the ongoing consolidation could encourage buyers to regain momentum in the recovery and provide new entry opportunities for investors.

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