Ethereum's 0.49% Price Drop to $1,623.75: Key Takeaways for September 6, 2023

Ethereum, the second largest cryptocurrency by market capitalization, has seen its price decline by 0.49% over the past hour to $1,623.75 according to data on September 6, 2023. With a market cap of $195.10 billion and 24 hour trading volume of $2.40 billion, Ethereum remains a dominant force in the crypto markets, though it has been experiencing some near-term price volatility.

In this technical analysis, we will explore key metrics for Ethereum over the past day, week, month, and six months to identify trends and make an informed prediction on where its price could be headed over the next year. Read on for the main takeaways.

Short Term Price Movement Shows Minor Pullback

Analyzing the 1 hour and 1 day percentage change data, we can see that Ethereum's price has pulled back slightly, with a 0.49% drop over the past 60 minutes and a 0.36% decline over the past 24 hours. However, these moves are relatively small in the context of normal market volatility.

It appears short-term traders may be taking some profits off the table after Ethereum's price ran up significantly over the past few weeks. However, the bullish uptrend remains intact, with buying interest likely to emerge on any larger dips given Ethereum's strong fundamentals.

Weeklong Decline A Common Occurrence in Ongoing Uptrends

Zooming out to the 7 day view, Ethereum has lost 4.69% over the past week. While some investors may see this and get nervous about a trend change, these kinds of temporary pullbacks are very common even in strong uptrends.

The key is that Ethereum has yet to lose any key support levels on the weekly chart, and buyers have continued to defend the 50-day moving average, which sits around $1,500. As long as these levels hold, the medium-term uptrend remains firmly intact.

Monthly Losses Follow Massive ETH Bull Run

Looking at the 1 month percentage change shows Ethereum remains down 11.19% even after bouncing back from its recent lows around $1,400. This makes sense given Ethereum rallied from below $1,000 to over $1,700 in the matter of weeks leading up to mid-August before needing to take a breather.

This type of consolidation after a parabolic advance is perfectly normal and gives traders time to find renewed buying conviction. As long as Ethereum holds above the psychological $1,500 level, the chart continues painting a bullish picture.

Recent Dip Only Minor Pullback in Wider Upcycle

Expanding the time horizon even further to 6 months, we can see Ethereum remains up a solid 3.69% over that period, even with the recent cooldown. This illustrates how the current volatility is just part of the ebb and flow within a larger bull market.

Since bottoming around $800 in June, Ethereum has shown impressive resiliency on any dips and has made higher highs and higher lows, the definition of an uptrend. As adoption continues growing and Ethereum keeps cementing itself as the leading smart contract blockchain, this uptrend has room to run over the remainder of 2023.

Price Prediction for Next Year

Given the overwhelmingly bullish technical backdrop across multiple time frames, my prediction is for Ethereum to resume its uptrend through the remainder of 2023 and make a run toward its previous all-time high around $4,900 over the next year.

Key factors supporting this advance will be the accelerating transition to Ethereum 2.0 to make the network faster and more scalable, as well as continually growing development and usage that will further cement Ethereum's position as the leading blockchain for decentralized apps and digital finance.

Will Ethereum Reach New Highs in 2023?

Ethereum has already passed its previous peak from 2018, reaching over $4,800 in late 2021. Given its strong market position and momentum, Ethereum appears well-positioned technically to take out this old high and post new record levels in 2023.

Several dynamics support this, including the upgrade to proof-of-stake being completed by year's end as well as advancements in scaling through layer 2 networks like Optimism and Arbitrum. This will allow Ethereum to handle more transactions at lower costs, boosting adoption.

Additionally, rising institutional interest in Ethereum as a productive asset class and continued decentralized finance (DeFi) growth should provide tailwinds. While short-term volatility will inevitably occur, Ethereum's long-term uptrend remains intact, with new highs reachable next year.

Can ETH Flip Bitcoin as Top Crypto?

Although Bitcoin is still the largest cryptocurrency by market capitalization, Ethereum has been gaining ground with its year-to-date performance significantly outpacing Bitcoin. This has led some pundits to speculate that Ethereum could eventually "flip" Bitcoin and take over the #1 spot.

While possible, Ethereum still faces obstacles to overtaking Bitcoin, including lower liquidity and brand recognition among mainstream investors. Bitcoin also maintains strong "digital gold" market positioning that will be difficult to replicate.

However, if Ethereum can deliver a smooth transition to ETH 2.0 and keep rapid innovation going, its more versatile utility and better scalability may ultimately give it an edge. But with both cryptos poised for long-term growth, ETH catching up to BTC could take years and Bitcoin flipping is far from a sure thing. The crypto market is big enough for both assets to thrive.


In summary, while Ethereum has seen some near-term choppiness, its core technicals and fundamentals remain highly bullish. My analysis of the key data down to the hourly moves suggests its uptrend is still intact with the potential for substantial upside over the next year. As adoption expands and ETH 2.0 upgrades roll out, Ethereum looks poised to reach new highs, though it likely still has work left to challenge Bitcoin as the #1 cryptocurrency. Stay tuned for more updates as the price action unfolds.

Read more

Multipool Enters Strategic Partnership with Tokinvest Delivering Next-Level Tokenized Real-World Asset Trading

Multipool Enters Strategic Partnership with Tokinvest Delivering Next-Level Tokenized Real-World Asset Trading

Majuro, Marshall Islands, July 16th, 2024, Chainwire Multipool, a leading innovator in the blockchain and cryptocurrency industry announces strategic partnership with Tokinvest with the goal of transforming tokenized real-world asset trading. This partnership aims to take real-world asset (RWA) trading to the next level with an end-to-end dual market solution

By John Williams