Volatility is one of the biggest issues in the digital currency space. Digital currencies are highly volatile assets. This is one of the major reasons why many investors are still hanging on the fence. A lot of investors are wary of the volatility of digital currencies, such as Bitcoin (BTC). As a result, they are scared of putting in their funds.
Like other digital currencies in the crypto space, Ethereum (ETH) is also highly volatile. Over the past week, the digital currency has experienced an increased level of volatility. The digital currency has been testing lower highs and lows, but it has failed to maintain higher highs.
Constantinople to Increase in the Volatility of Ethereum (ETH)
The much-anticipated hard fork of Ethereum – Constantinople – will take place later this week. Constantinople is an Ethereum upgrade that is set to improve the Ethereum network. The upgrade was supposed to be implemented late last year. However, the activation was postponed to this year due to some peculiarities. The upgrade will finally be activated this week, after a series of postponements.
As the hard fork is fast approaching, experts expect the volatility levels of Ethereum (ETH) to increase. Constantinople is seen as a major bull for the digital currency. However, experts believe that the digital currency is presently showing increased levels of technical weakness. This could result in further losses in the value of the digital currency.
Ethereum (ETH) Recent Price Trend
Ethereum (ETH) is currently trading in the red after seeing a very sharp price recovery over the weekend. Ethereum started a massive rally over the weekend, carrying the world’s largest digital currency along. On Sunday, Ethereum (ETH) surged over the $165 mark but encountered resistance on the upside. The digital currency lacked momentum to break over the $170 mark. Ethereum (ETH) started the week on a very poor note after failing to sustain gains.
The downward trend also started with the digital currency, as it plunged into the red few minutes before other digital currencies followed suit. Some digital currency analysts now see Ethereum as technically bearish as it fails to post strong recovery.
Future Price of Ethereum
Ethereum (ETH) will likely decline to its low range around the $130 mark in the short-term. This was pointed out by a digital currency trading on Twitter that goes by the name Hsaka. At the moment, Ethereum is technically weak, according to analysts. However, the forthcoming hard fork of the network will likely result in increased volatility levels. The hard fork of Ethereum – Constantinople – will take place on the 28th of February.
Another digital currency analyst on Twitter – Chonis Trading – also gave his remark on the possible impact of Constantinople. In his tweet, he said that the present value of Ethereum is holding over its lower Bollinger Band. Adding that the forthcoming hard fork will possibly increase the volatility of the digital currency.
Ethereum (ETH) Price Today – ETH / USD
At the time of writing, Ethereum (ETH) is changing hands at $141 after an increase of about 1 percent over the past twenty-four hours. The second largest digital currency in the world currently has a market cap of $14.51 billion, which is $1.40 billion more than the market cap of XRP (XRP). The trading volume of the digital currency over the past twenty-four hours is at a high of $3.87 billion.