Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

ETH/USD Forecast: Grinds Away

By Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

It is worth noting that such a policy stance has only been witnessed once before, and it had adverse effects on the cryptocurrency market. 

  • The Ethereum market maintained a sense of calm during the early hours of Thursday's trading session, hovering just slightly above the critical $2000 threshold.
  • The significance of this level cannot be overstated, as it represents a substantial, round figure that has captured the market's attention.
  • Recent weeks have witnessed some turbulence in the market, hinting at the possibility of lingering uncertainty.

Top Forex Brokers

1
Get Started 74% of retail CFD accounts lose money Read Review
 

The current market actions suggest that support may be identified as far down as the $1925 level, while the $2125 level stands as a formidable barrier of resistance overhead. In other words, the market appears to be "stuck" within this range.

Taking a broader perspective, Ethereum continues to experience volatility, primarily driven by ongoing developments in the bond market. The bond market's performance carries substantial weight when it comes to interest rates, which, in turn, exert a profound influence on cryptocurrency markets. Cryptocurrencies, Ethereum included, often grapple with challenges in environments characterized by central banks' tightening monetary policies.

Tight Monetary Policy

It is worth noting that such a policy stance has only been witnessed once before, and it had adverse effects on the cryptocurrency market. Therefore, if market participants continue to perceive a dovish stance on interest rates, the likelihood is high that cryptocurrency prices, including Ethereum, will continue their ascent.

In the current climate of uncertainty, it is crucial to acknowledge that the Ethereum market remains immersed in a state of turmoil, demanding a certain level of clarity regarding interest rates to chart a definitive course. Nonetheless, indications point towards the probability of ongoing consolidation leading to further continuation. However, should Ethereum breach the $1800 level on the downside, it could find itself facing significant challenges.

Furthermore, close attention must be paid to Bitcoin's movements, as it often acts as a precursor to the broader cryptocurrency market. If Bitcoin experiences a rally, Ethereum is likely to follow suit. Conversely, if Bitcoin encounters selling pressure, Ethereum could experience a substantial downturn.

At the end of the day, Ethereum's journey ahead remains uncertain, particularly given its proximity to the pivotal $2000 level. The intricate interplay between interest rates and cryptocurrency performance remains a critical variable to monitor, especially as we observe movements in the US bond markets with rates on the decline. While Ethereum seems poised for further price action, its ultimate trajectory will be influenced by various external factors, including the performance of Bitcoin.

ETH/USD

Ready to trade ETH/USD? Here’s a list of some of the best crypto brokers to check out.

Christopher Lewis
About Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.
 

Most Visited Forex Broker Reviews