Ethereum's Future: Is Next Bull Run on Horizon as ETH Maintains $1,740 Support?

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The recent crypto carnage, SEC crackdown on top exchanges, and the interest-rate updates awaiting from US Feds, came down heavily on the cryptocurrency market these last few days. All major currencies took a hit including Ethereum.

Some investors believe that the second largest cryptocurrency – Ethereum – is standing on a double-edged sword and its recent position can either take it to heights or deep falls. With the key meeting of the Federal Reserve scheduled to conclude later today, investors are assessing how they should proceed with Ethereum.

Let us find out where Ethereum is heading for the next few weeks.

Ethereum’s Current Market Standing

At the time of writing this article, Ethereum was trading at $1744.4. In the last 24 hours, Ethereum’s price went down by a margin of 0.64%. Its present market capitalization is recorded at over $208 billion. Ethereum’s current circulating supply is standing at 120 million ETH. However, there is no data available for its max supply. Its 24-hour trading volume has dropped by 5%, taking it down to $6 billion.

Ethereum’s 24-hour chart is mostly red, which indicates that there have been major crashes in its prices these last few days. This is because of the recent crackdown of the SEC on major crypto exchanges with enforcement action. The future uncertainty looming over the crypto world shook everyone, and thus, major currencies like Bitcoin and Ethereum saw a price drop. The entire meme coin line crashed too.

The highest price level, Ethereum has reached over the last 24 hours is $1759, while the lowest level it has dropped to is below $1730. The coin has now maintained a support level at $1740, $1737, and $1728. On the contrary, the resistance has formed at a level slightly higher than $1740.

Ethereum’s Price Movement in Last 7 Days

Ethereum’s last 7-day graph offers an even more grim picture. Over the weekend, it fell drastically from $1827 to $1729. That’s a significant 5% drop. At the start of the week, Ethereum’s price was near the $1870 mark. It is now trading at $1744. In just 7 days, it has dropped by more than $100.

Over the past 7 days, it had formed resistance at $1858, $1848, and $1838 levels. But, they were not strong enough to save Ethereum from the crash that followed. The entire matter took a hit, so it’s natural that Ethereum lost its footing for a while.

After the weekend crash, the coin has been struggling to get up again, which is evident from its fluctuating price graph. It formed new resistance at $1758 and $1769 but has not been too successful in keeping them intact.

Three days ago, on 12th June, Ethereum’s price rallied for a while at around $1772 before dropping to $1729. Where it formed a long steady support around $1728, $1733, and $1731. The 7-day highest Ethereum has traded at was around $1875, while its lowest trading price was around $1728. That indicates a decrease in price by 7.84%.

SEC and US Feds Pulling the Strings

The cryptocurrency industry has been taken for a ride since the end of 2022 and it has continued till the first quarter of this year. From the collapse of major crypto exchanges to Korean hackers, the industry has been wounded badly.

All these caused havoc on people’s finances and the world economy as a whole. With it, the growing concern for more regulation in the crypto world grew stronger. This has led to strict scrutiny by the SEC and the US Feds, which caused carnage last week. All these uncertainties are bound to affect the price of cryptocurrencies and sway investors away for a while.

However, there is still some hope left. The US Feds sat for a key meeting yesterday without any pre-determined interest rate. There are uncertainties about the outcome of this meeting, as no one knows whether or not they will increase the interest rate. If they do increase it, the prices of cryptocurrencies will take a hit again. And if they keep the interest rate unchanged, then there is likely to be a bull run in the crypto space.

The good news is that a majority of the people are leaning towards a ‘no-interest-rate-hikes’, giving everyone some hope. We will know for sure what happens after the meeting of the Federal Open Market Committee ends today.

Mounting Pressures and Prospects in the Crypto World

As per technical data, Ethereum’s current volatility rate is below 3%, which is medium. This could be because the coin has formed strong support at the $1730 level, and it is unlikely to drop below that. However, the major sentiment is bearish. This is because of all the economic and regulatory uncertainties and once everything gets settled, we believe to have a better picture.

On the other hand, in the last hour, Ethereum’s price has witnessed a few higher highs. It also formed a little resistance at the $1747 level; however, it was short-lived, and the price came back to $1748 now. Going by past trends, it looks like the coin will form a base between $1735-$1745. If this happens and the coin remains stable, we will know that investors are assessing the situation and waiting to make a move. If the outcome of the Feds meeting favors cryptocurrency, we believe that Ethereum may re-touch $1800. Otherwise, the coin may crash again and hit below $1700.

Cryptocurrency is a volatile market. So, it is important to tread carefully, especially when finances are at stake. While the market stabilizes a little, investors may look at safer options involving lower costs, such as AiDoge and $WSM.