Reading time: ~2 m
The expert analyzed the situation in the digital asset industry and told when the price of Bitcoin and Ethereum will drop to a minimum and return to growth
The crypto market is in the midst of the “crypto winter” at the “bottom” line of the current correction, senior analyst of the Bestchange.ru Nikita Zuborev is sure. According to him, expectations from the coming months are rather neutral or moderately negative.
“The total capitalization of the crypto market is about $ 1 trillion, which can be considered a fairly confident level and it is unlikely that the market will decline significantly more than current values,” the expert suggested.
As of August 24, 17:45 Moscow time, bitcoin is traded at $ 21.5 thousand, the price of Ethereum is $ 1.6 thousand Over the past week, cryptocurrencies have fallen in price by 10% and 12%, respectively.
Zuborev predicted that bitcoin will be in stagnation for “many more weeks”, while the Ethereum rate expects “relative calm” after a period of turbulence in mid-September.
On September 10, Ethereum may switch to the Proof-of-Stake protocol, according to the project’s new roadmap. The “merger” will consist of two stages. The first will be an update called Bellatrix on September 6. If it is successful, the Paris update will be launched at the time the system reaches the required TTD indicator – Terminal Total Difficulty (cumulative complexity of the network up to the requested block).
The exit from the “crypto winter” season can be tracked by the bitcoin dominance index, Zuborev added. In his opinion, it will be possible to talk about the beginning of a new growth cycle after bitcoin begins to grow relative to other cryptocurrencies.
“So far, on the contrary, the index is declining. The market is not yet ready for a reversal, there are no serious fundamental factors, as well as technically there are no prerequisites for a global bullish trend,” Zuborev warned.
He added that he expects a correction throughout the current year to levels of about $ 15-18 thousand in a positive scenario and $ 9-11 thousand in a negative one.
Of the fundamental factors that can contribute to the reversal of the market, the analyst called the growth in the value of Ethereum on the news of the “Merger” and after it. As a result, there will be a distribution of capital and “blown up by the news” Ethereum can become a catalyst for the growth of bitcoin, Zuborev suggested.
“If nothing out of the ordinary happens in the market in the coming months, then we expect the end of the consolidation and the change of trend to a global upward one in early to mid-2023,” the expert concluded.
#midst #crypto #winter #market #correction