Ether seems to be having difficulty staying on the uptrend as the price dropped by 1.9% on Thursday morning trading at $608. This is after Ether managed to recover and move to $630. Making progress above $600 seems impossible for Ether in the short-term.
Why is Ether Falling?
The price of Ether depends a lot on market perception just like most cryptocurrencies. Recently, the sentiment in the market hasn’t been delightful making it difficult for the coin to increase in value or hold gains.
The recent update from Parity Technologies hasn’t helped either. The London-based company revealed a significant vulnerability elimination and this contributed to the decline.
The market sentiment is negative and Ether isn’t the only coin suffering. Bitcoin, Bitcoin Cash, and, many other top cryptocurrencies are finding it difficult to make significant progress.
There have been reports of reduced cryptocurrency search on Google and reduction in the growth rate of Bitcoin wallets indicating that people have lost confidence in cryptocurrencies.
Newcomers have been discouraged by the regulators, and, criminal investigation into cryptocurrency price manipulation in the United States.
In Vietnam, the Ministry of Finance proposed a bill to sweep and temporarily ban the import of mining equipment with the excuse that cryptocurrencies are difficult to regulate.
Is There Hope for Ethereum?
Recently, Ether’s declines have been somewhat limited and even with the recent dip, Ether may be preparing for a break against the $614 resistance.
If Ether can break this mark, then it may push ahead to $635.
However, if the dips continue and it falls below $600, it may go lower to $575 and struggle more.
Even with the current market sentiment, this is the best time to buy Ether and other cryptocurrencies. The prices are still low but the tables will turn before the end of the year. Some experts have predicted that Ether will get to $1,500 before the end of the year.