Ethereum has fallen 76% from its $ 4,878 high and is now moving around the $ 1,150 notch. The world’s second largest crypto has been on a downward streak for two weeks in a row and shows no signs of growing.
A recent report by CoinShares shows that Ethereum suffered $ 450 million in outflows, which caused it to fall in the indices. On top of that, top institutional investors are jumping on the bandwagon and leaving the crypto market at a historic pace. The drying up of inflow funds is worrying as the development could send the market’s head down.
Crypto Analyzer ‘Sherpa Altcoin‘painted a not-so-rosy picture for Ethereum, predicting that ETH’s next leg could be $ 600. He said on Twitter that ETH is receiving buying pressure at $ 1,150, but if the demand zone breaks, Ethereum could probably reach $ 600.
“ETH: This area remains a high demand area and if we drop out here, $ 600 is probably the next area. #Ethereum $ ETHUSD,” I predicted his 180,000 followers on Twitter.
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Users were also not surprised to see its bleak forecast for ETH, as investors have already decided that another collapse is inevitable.
Several other analysts have predicted that Ethereum will lose nearly 70% of its current value and trade at $ 300. Veteran analyst and popular futures trader Peter Brandt accurately predicted this month that Ethereum would fall below $ 1,200. A week ago, Brandt took to Twitter and predicted that Ethereum could collapse to $ 300 in the coming weeks.
“The graph suggests a target of $ 300. Targets are not sacred – sometimes they are hit, sometimes not, sometimes exceeded. But for now, I will not buy ETH with my enemy’s money. ETH, ” I tweeted.
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Recession could hit Bitcoin and Ethereum hard
Crypto billionaire Mike Novogratz recently issued a warning about an impending recession, leading to significant downtime for the crypto ecosystem. He told New York Magazine that the US could be in recession until the end of 2023.
If that happens, Bitcoin and Ethereum could fall to new lows, dragging the entire crypto market along with it.
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“My instinct is 18 months, maybe even a little shorter, because I think the Fed is going to have to interrupt rate hikes by the fall, and I think it will make people comfortable to start building again,” he said. he said.