Ethereum (ETH) has fallen below $ 1,000 for the first time in over a year as the broader crypto market continues to move south with no immediate solution, or at least not yet.
Ethereum (ETH) was one of the cryptocurrencies with particularly poor performance, down 7.32% in the past day following the loss of Bitcoin. The second largest cryptocurrency by market capitalization is currently selling for $ 950, down 37.4% last week.
If you look at the entire Bitcoin market over the last two weeks, you’ll see that it’s all down. The decline has deepened in the past week, clearing the market value of all cryptocurrencies by about $ 300 billion.
Recommended Reading | Bitcoin (BTC) Below $ 18,000 – What Can Stop Selling?
Ethereum loses more than half of its value in 7 days
However, it’s not just crypto that is experiencing big beatdowns. Wall Street is similarly in turmoil as the S & P 500 has fallen below 4.25% in the past week. During the same time frame, the Dow Jones Industrial Average fell 4%, while NASDAQ fell sharply by less than 2%.
As usual when Bitcoin declines, alternative cryptocurrencies will also decline. This negative trend is led by Ethereum, which fell below $ 1,000 for the first time since January 2021. In about seven days, ETH lost more than half of its value.
Both cryptocurrencies and equities have experienced a tough bear market in response to concerns about the US central bank’s 75 basis point rate hike (the largest rise in the last 30 years).
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 fractional threshold. There are many more problems with Cardano, Solana, Ripple, Dogecoin, Pokadot, Siba Inu, TRON and more.
More pain offshore?
Analysts warn that additional losses will be incurred. They said the Federal Reserve has just begun to raise interest rates and has not yet sold its assets from its balance sheet.
The US Bureau of Labor Statistics also released data on the Consumer Price Index (CPI), an indicator used to measure inflation, at 8.6% in May. This has affected the ongoing volatility of cryptocurrencies.
Technically, the price of ETH needs to regain $ 1,000 as psychological support. If this level violates the minus, the token may target $ 830 as the next goal.
In February 2018, the same level acted as a resistance, dropping 90% to about $ 80 in December 2018.
Recommended Reading | Ethereum Below $ 1,000, Drag Down on BTC Slide – What’s Next ETH Support?
Featured image from Futurity, chart from TradingView.com