Recently, ethereum has fallen into a predicament, and prices have fallen to a terrible level below $200. Every crypto enthusiast believes that the Smart King contract will continue to maintain its contract and may return to around $400. But this hasn't happened yet, because the encryption market is still stuck at a total market value of $195.4 million, and at the time of this writing, eth coin is a bit stable at $192.
Therefore, when I was writing, bitcoin even increased its dominance to 56%. On the other hand, ethereum's dominant position is currently 10%, and then dominates the market in 14% to 18% of the market.
First, the rumors about the ico sale of the ethereum they raised last year were valid. Looking at the EOS project, the team successfully sold all of their ethereum before launching the main network on June 2. Further checking the encryption market, we found that the price of eth at that time was relatively good, about $600. Using this price as a reference, digital assets have fallen by an astonishing 57% from a record high of $1,400. Therefore, the EOS team has reason to cash before further decline.
It is in this context that ico, which still holds bags, is highly likely to sell more eth on the market. The common transactional meaning suggests that when digital assets are out of control in the market, the best option is to choose bitcoin coin or the controversial Tether to hedge further losses.
If digital assets decide to systematically use them for bitcoin or any other more stable digital asset, then the number of ico still holding eth is still sufficient to cause further declines in digital assets.
Second, even without ico selling their ethereum, the encryption market is in a very fragile state. Due to the evidence of institutional investors entering the crypto-investment, there has been no sign of a reduction in the bear market triggered by the Korean and Chinese regulatory panic in February.
Wall Street even plans to offer ethereum futures contracts by the end of the year. This should lead to a positive subconscious reaction in the market.
Our mood and feelings are that we are heading to a difficult time in September this year, especially the US Securities and Exchange Commission's decision on CBOE-sponsored ETFs on September 30th. In the previous post, the Global Coin Report suggested that traders be cautious between now and the Day on September 30.
The answer to this question is simple. The market needs to turn things around before ethereum gets worse. Encrypted traders and institutional investors need to start buying and pushing large amounts of cryptocurrencies for everyday business, such as paying for coffee. This is the only way to increase demand for all digital assets, causing a ripple effect that increases the ethereum price.
The second option is to enable ethereum core developers to address scalability issues on the network to achieve faster transaction speeds and cheaper transactions. This will prevent DApp creators and users from moving to more efficient platforms such as Tron and Zilliqa. Ethereum's network congestion is the only reason why smart investors continue to short ETH in the market.
All in all, the short-term future of ethereum market looks a bit bleak in the current bear market, plus ico decided to sell all eth too late. In other words, it may be time for eth holders to reconsider their investment strategy, because the collapse of ethereum is far from over.