Ethereum has slipped below its 50-day moving average (MA), suggesting a potential weakening of bullish momentum. Following a mild uptick on Friday, Ethereum’s price has dropped by 1.7% in the last 24 hours, now at $2,616, according to CoinMarketCap.
Despite this decline, trading volume has surged by 43.40%, reaching $14.71 billion. It remains uncertain whether this surge in trading volume emanated from BUY or SELL trades.
Therefore, Ethereum is at a critical juncture. Will its price further decline in the coming days, or will more buyers fail to step in to force a recovery? Let’s examine the fundamental movements shaping ETH’s outlook.
How Vitalik Buterin’s Recent ETH Transfers Contribute to Price Decline
Ethereum’s price recently fell after cofounder Vitalik Buterin transferred 1,300 ETH to Paxos.
Wallet “0x556,” associated with @VitalikButerin, deposited the last 649 $ETH ($1.72M) to #Paxos ~20 hours ago.
Notably, on Sep 19, wallet “0x556” received 1,300 $ETH ($3.21M) from wallet “0xd04,” which got funded with 70K $ETH by Vitalik Buterin in 2022.
Over the past 11 days,… pic.twitter.com/tuRYZKGmiV
— Spot On Chain (@spotonchain) September 30, 2024
These transfers occurred over the past 11 days, with ETH averaging $2,581 per transaction.
Meanwhile, earlier this month, Buterin stated that the withdrawals were mainly for donations supporting his research interests, not for personal gain. “My goal with giving projects money is to support things that I think are valuable,” he said.
BTW the above also applies to L2 tokens or other project tokens I hold (incl not-yet-liquid): all proceeds will be donated, again either to support public goods within the ethereum ecosystem or broader charity (eg. biomedical R&D).
I also do not intend to invest into L2s or…
— vitalik.eth (@VitalikButerin) September 5, 2024
However, his continuous ETH sales have impacted the market, contributing to the bearish sentiment. The sales of such large amounts of ETH trigger fears of a possible supply hangover.
If Buterin continues selling ETH, the downward pressure might persist, leading to further price declines.
Vitalik Buterin’s Vision Could Boost ETH’s Future Growth
Vitalik Buterin recently shared principles to guide Ethereum’s development, emphasizing decentralization, security, and open-source collaboration.
Making Ethereum alignment legiblehttps://t.co/Ydwox0c01i
— vitalik.eth (@VitalikButerin) September 28, 2024
These principles strengthen Ethereum’s ecosystem, potentially increasing confidence among investors and developers. As Ethereum evolves, these factors could trigger more upward rallies for ETH by attracting more projects and users.
Buterin also highlighted the importance of tracking projects that align with these principles and boost Ethereum’s long-term value. This strategic vision could help Ethereum compete with Bitcoin, driving future price growth.
Ethereum Fractal Pattern Hints at Potential Price Surge
Meanwhile, a fractal pattern between 2023 and 2024 suggests Ethereum could see more upside in price action. According to Julien Bittel from Global Macro Investor, ETH previously consolidated between $1,500 and $2,000 before breaking out.
ETH is still looking a lot like a 2023 redux.
Imagine…#Ethereum pic.twitter.com/WwZ7I3ayz1
— Julien Bittel, CFA (@BittelJulien) September 25, 2024
The current pattern mirrors this, showing potential for a bullish breakout. If Ethereum follows this trend, it could reach $10,000 by the year’s end. That’s a significant rally of more than 284% from its current price.
Ethereum Price Dips Below 50-Day SMA: What’s Next for ETH?
Ethereum’s price has recently dropped below its 50-day Simple Moving Average (SMA) line, a level that has historically served as strong support. This dip signals potential weakness, as the 50-day SMA has often acted as a floor for the coin.
With Ethereum now trading below this key level, further declines may be witnessed in the short term. In addition, the MACD is below its signal line, showing a downward trend in momentum, with red histogram bars signaling increased bearish sentiment.
However, the current price remains above the 200-day SMA, suggesting that if the downtrend continues, this could be the next support level for ETH.
The 200-day SMA has historically been a strong barrier during price drops, meaning ETH could bounce back if it reaches this level. This technical setup indicates that Ethereum may struggle to regain strength soon, as sellers are currently in control.
While the technical indicators paint a bearish picture for Ethereum, the long-term outlook could still be bullish. The current dip may provide a buying opportunity for investors, especially if ETH finds support at the 200-day SMA.
Memebet: A New Meme Coin Shaking Up Crypto Gambling
As investors weigh these factors, potential alternatives to Ethereum are worth exploring. One such alternative is Memebet, a new project making waves with its impressive presale performance.
This rising star in the crypto space may offer a solid opportunity for those looking to diversify their portfolios. Memebet ($MEMEBET) combines gambling with cryptocurrency.
The project’s presale has already raised over $342,000, and some analysts are describing it as one of the best meme coins to buy in 2024.
Memebet Casino: Where Memes Meet Gambling
Memebet Casino caters to meme coin enthusiasts who love gambling. It offers a wide range of games, including classics and crypto-specific titles. Users can bet with MEMEBET tokens and other popular meme coins like DOGE and SHIB.
The platform allows online gambling through Telegram, making it easy to access. It doesn’t require KYC, appealing to users who value privacy. To incentivize users, Memebet Casino offers bonuses, VIP perks, and community rewards.
Presale Success and Analyst Predictions
MEMEBET tokens are currently available for $0.0253 each during the presale. The project accepts various cryptocurrencies and card payments for token purchases.
Analysts like Umar Khan from 99Bitcoins have highlighted Memebet’s potential. Khan believes the casino concept and rewards system could drive MEMEBET’s growth. Another analyst, Crypto Gains, has also spoken positively about the project.
These endorsements have increased interest in Memebet’s potential. So, if you’re interested in online gambling with a touch of crypto, consider checking out the Memebet presale.
However, remember to research and only invest what you can afford to lose.
Disclaimer: The opinions expressed in this article do not constitute financial advice. We encourage readers to conduct their own research and determine their own risk tolerance before making any financial decisions. Cryptocurrency is a highly volatile, high-risk asset class.
