Ethereum Price Prediction – 50 SMA to Drive Selling Below $2,965
The ETH/USD ended the day at $2926.02, having reached a high of $3164.20 and a low of $2926.02.ETH/USD tried to move up during early trading
Arslan Butt•Tuesday, September 28, 2021•2 min read
The ETH/USD ended the day at $2,926.02, having reached a high of $3,164.20, and a low of $2,926.02. The ETH/USD tried to move up during early trading hours on Monday, but failed and reversed its course, posting a loss on the day, amid the prevailing negative sentiment in the market.
The second-largest Ethereum mining company, Sparkpool, which is located in China, has decided to shut down its local and international mining pool services, in response to regulatory changes in China. On Monday, the company announced that it had already suspended services for new China-based mining customers.
The severity of China’s intense clampdown on cryptocurrencies is apparent from the firm’s decision to suspend services. The company has set the date of September 30 to shut down its operations in China, amid the crackdown on cryptocurrencies by the Chinese government. It is expected that the closure of the second largest ETH mining pool will damage ETH’s hash rate, and these expectations kept the ETH/USD prices under pressure on Monday.Meanwhile, Etherscan has posted that a popular centralized exchange, Bitfinex, has spent over $23 million in
gas fees, sending just $100K worth of USDT on the Ethereum blockchain. The company is said to pay about 7,676 ETH, which seems to be the most expensive transaction ever made on Ethereum.
The average transaction fee on the Ethereum blockchain is currently around $39.96, which means the Bitfinex transaction was about 590,000 times higher than the current cost. This news put extra downside pressure on the already declining prices of the ETH/USD on Monday, keeping them under pressure.
Ethereum Price Prediction – 50 SMA to Drive Further Selling
The Ethereum price prediction remains bearish at the $2,892 level, heading towards the next support level of $2,842. On the two-hourly timeframe, the ETH/USD is facing strong resistance at 2,967, and a breakout above this level could lead the ETH/USD pair towards 3,005 and 3,175.
Daily Technical Levels
Support Resistance
2,846.62 3,084.80
2,767.23 3,243.59
2,608.44 3,322.98
Pivot Point: 3,005.41On the lower side, the
ETH/USD may gain support at 2,842, and a breakout at this level could trigger a sell-off until 2,761. The
RSI and MACD are supporting sell trades in ETH. Thus, we have opened a sell-signal at 2,935.2, with a stop loss of 2,975.214 and a take profit of 2,885.192. Good luck!
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
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