Friday, October 22, 2021
HomeNewsEthereum course currently over $ 3,000 - bargain hunters on the go

Ethereum course currently over $ 3,000 – bargain hunters on the go

Ethereum is falling to $ 2,800 – its lowest level in 1.5 months

The prices for Ether and Co continued to fall in the night from Monday to Tuesday. The most important digital currency by market size fell to its lowest level in 1.5 months at around $ 40,000 amid concerns about a potential loan default by real estate company Evergrande. The second most important currency, ether, temporarily fell to around $ 2,800 per unit.

The uncertainty continues to be written on investors’ faces. The possible bankruptcy of “Evergrande” continues to cause great unrest. It is the fear of a “Lehman 2.0” and the associated shock waves for the financial markets that are unsettling investors. The first forerunners of the shock waves of the financially shaken group infected the crypto sector with great uncertainty. Once again, however, there can be no talk of crisis protection. Short-term oriented investors in particular, who are driven by pure speculation and the pursuit of profit, can panic at such a moment to sell their holdings. A constellation of thin liquidity and larger short positions can lead to losses of this magnitude at such a moment.

Do you already know the top 10 cryptocurrencies to trade in 2021?

Ethereum course: Fed central bank meeting in the middle of the week should keep investors busy

The US central bank meeting of the Federal Reserve (Fed), which has been eagerly awaited in advance, should cause movement in the cryptocurrency markets on Wednesday evening. The monetary authority may announce a meltdown of the existing bond purchases amounting to 120 billion dollars per month (tapering). This could be understood as a turnaround in interest rates, even if the interest rate level is not initially shaken. Should the Fed turn off the notorious money tap, this should not least be at the expense of Bitcoin and Co. The world reserve currency, the US dollar, could initially be strengthened further against this background and make crypto investments less attractive to foreign investors. In addition, cryptocurrencies are seen as a supposed hedge and diversification instrument in times of “cheap money”, triggered by the outbreak of the coronavirus pandemic in the western world.

This could continue for the Ethereum course

In the meantime, a number of bargain hunters could have appeared in the markets and cause a sharp countermovement. Investors should avoid reaching into the falling knife as much as possible. Only in the case of a sustainable conquest of the psychological mark of $ 3,000 do I see further upward advances up to $ 3,500 per unit. The course of the Bitcoin price also remains important. If the currency, which is seen as the key currency, starts to reverse again, this circumstance should not least exert negative potential for currencies from the second and third rows.

Even if follow-up purchases are to be expected in the short term, the overriding trend remains downward.

Overall, the losses could widen further in the coming hours and days. The mixed situation is to be assessed as fragile until the situation around “Evergrande” has largely calmed down. Bitcoin and Co are thus on feet of clay. Investors should be prepared for continued troubled trading.

How to trade cryptocurrencies with IG yourself

Do you want to trade cryptocurrencies yourself? Open a live or demo account with IG and buy (long) or sell (short) Bitcoin using derivatives such as CFDs in a few simple steps:

  1. Create an IG trading account or log into your existing account.
  2. Enter “Bitcoin” in the search bar and select it.
  3. Choose your position size.
  4. Click Buy or Sell Order Ticket.
  5. Confirm the order.

Hasan Sheikh
Hasan, who loves technology and games, is studying Computer Engineering at Delhi JNU. He has been writing technology news since 2016.


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