Why Isn’t the Ethereum (ETH) Price Going Up? What’s Putting the Suppression on the Price? Here’s the Answer!

Spot Ethereum ETFs, which opened for trading in late July, failed to meet expectations in Ethereum price.

While the decline and slow price movement in ETH has made investors pessimistic, Nansen chief research analyst Aurelie Barthere explained the main reason for the decline in the ETH price.

At this point, Aurelie Barthere said that the decline in Ethereum was due to lack of investor interest and risk appetite rather than outflows in spot ETH ETFs.

The ETH price has fallen by 25% since the launch of spot Ethereum ETFs on July 23, while the ETFs experienced a net outflow of $420.5 million in total.

“Bitcoin (BTC) is down 14% since July 23. However, Ethereum is down 25%.

I believe this drop in ETH price is due to lack of risk appetite and not related to the ETF launch.”

Are We Coming to the End of the Bull Market?

Evaluating the current state of the cryptocurrency market, the analyst stated that the stagnation in BTC, ETH and, more broadly, cryptocurrency prices could be a temporary correction or a sign of the end of the current bull market.

Barthere said the uncertainty over whether this recession is a temporary correction or the end of a bull market will largely depend on the monetary policy decisions the Fed makes in the coming months.

“Amidst the stagnation in cryptocurrency prices, are we just taking a consolidation break or have crypto prices reached their peak? It still remains unclear.

“If the Fed can cut rates while growth continues, the bull market in crypto and stocks will likely continue. If we experience a sharper slowdown in growth, there will be less upside potential for risk assets.”

The Latest Decline Is Not Caused by the Cryptocurrency Industry!

Nansen analyst Aurelie Barthere, who also evaluated the recent sharp declines in Bitcoin, Ethereum and altcoins, said that the selling wave was not specific to cryptocurrencies, but occurred under the influence of the broader stock sector.

*This is not investment advice.

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