Ethereum Price Threatens Decline To $1600 After Breakdown From Symmetrical Triangle

While Ethereum price continues to falter, a steeper drop for the largest altcoin lurks around the corner. According to Bit Bull, the ETH decline will see it sink to lows of $1,600 in the near future.

Ethereum Price Hurtles Toward $1,600

Cryptocurrency analyst Bit Bull has shared a prediction on X for Ethereum price movement in the near-term. According to Bit Bull, Ethereum looks set to continue its decline and can fall as low as $1,600.

Bit Bull hinges his prediction on Ethereum breaking down from a symmetrical triangle after prices fell below $1,820. The decline below the triangle pattern signals a bearish sentiment, continuing the previous decline. ETH price remains stuck below $2,000 since the drop below the psychological level was driven by a raft of unsavory fundaments and technicals.

The latest is the Ethereum price dropping beneath the triangle pattern, triggering new short entries on the asset. A breakdown and a retest followed by low trading volumes confirm fears of a steeper ETH correction.

“However, after the breakdown and a retest, ETH is now looking bearish,” said Bit Bull. “Technically, there’s a strong possibility for further downside.”

Apart from the symmetrical triangle, a further confirmation of bearish sentiments is seen in ETH dominance. According to his analysis, Bit Bull notes the ETH dominance chart has formed a descending triangle to signal further bearishness.

“A retest toward the upper trendline is likely, but after that, we could see another move down,” added Bit Bull.

On-chain Metrics Confirm Bearish Sentiments For ETH

While technicals are largely pessimistic, on-chain data are telling a similar story for Ethereum price. Right out of the bat, active addresses on Ethereum have taken a major hit in recent months, exacerbating the issue of falling prices.

There is also a decline in Ethereum fees burnt while fees burnt per transaction face a similar slump. Perhaps the biggest indicator for long-term bearishness is an increase in ETH supply after the Merge event.

Despite the negative sentiments, ETH to $4,000 is still in play given the show of as strong support at $1,800. Standard Chartered analyst opines that Ethereum will finish the year at $4,000 after slashing its earlier prediction of $10,000 by 60%.

Ethereum price currently exchanges hands at $1,803, falling by less than 1% over the last day. Weekly charts indicate a similar ETH decline of around 1%, confirming a strong consolidation base for the bruised and battered altcoin. Ethereum’s trading volume stands at nearly $7 billion with whales creating a chunk of market activity for the asset.

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Aliyu Pokima

Aliyu Pokima is a seasoned cryptocurrency and emerging technologies journalist with a knack for covering needle-moving stories in the space. Aliyu delivers breaking news stories, regulatory updates, and insightful analysis with depth and precision. When he’s not poring over charts or following leads, Aliyu enjoys playing the bass guitar, lifting weights and running marathons.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.