Ethereum has tumbled by 8% today, with its slide to $1,450 coming as the crypto market drops by 4% in the past 24 hours.
These declines have come after President Trump increased tariffs against China to 104% yesterday, deepening the ongoing trade war between the US and much of the rest of the world.
And in this context, Ethereum is looking increasingly weak, with the second-biggest coin in the market falling by 20% in a week, 29% in a month and 59% in a year.
Some analysts are even suggesting that it drop as low as $1,000, even if its long-term price prediction remains as strong as ever.
Is $1,000 the Final Floor for Ethereum? One Metric Thinks So
Posting on X, Bloomberg analyst Mike McGlone suggested that Ethereum could be “the canary in the coal mine” for the rest of the market, with a potential fall to $1,000 likely signalling further losses for other assets.
Given that Ethereum’s momentum has completely fallen away in the past month or so, additional declines towards $1,000 are certainly possible, especially when China looks ready to respond assertively to Trump’s latest retaliatory tariffs.
Yet ETH’s chart and indicators paint a picture in which the altcoin is at a bottom and should recover very soon, seeing as how oversold it is.
Its one day-chart, for example, has its RSI (purple) at around 25, which is firmly in oversold territory.
Likewise, its 30-day average (orange) has now fallen so far below the 200-day (blue) that a strong rebound should be on its way.
Source: TradingViewIt’s a similar story with ETH’s one-week chart, although this suggests that we may have to wait a little longer for a final bottom.
That’s because its weekly RSI is only just about to fall below 30, while its 30-week moving average hasn’t yet fallen below the 200-week average.
And this chimes with the wider market picture, which has been deflated ever since US President Donald Trump has started on the tariff-related warpath.
There’s some hope that the US will begin negotiating more pro-trade deals with various trading partners, something which could help to list Ethereum and other coins in the coming weeks.
Yet such an eventuality may be somewhere down the line, which means that Ethereum dropping to $1,000 is a distinct possibility.
However, as and when the overall picture improves, the coin will return to $2,000 in a short space of time, perhaps by June.
Presale Coins Can Outperform Bear Markets
Because Ethereum looks like it will have a difficult time for the next few weeks, many traders may be already shifting to newer tokens, which can often rally despite wider market conditions.
One promising area for them may be presale tokens, with the biggest sales often leading to big exchange listings in due course..
And one of the biggest presales in recent memory belongs to Solaxy (SOLX), a new Solana-based project that has raised a very impressive $29.5 million in its ICO.
Solaxy is Solana’s first proper layer-two network, providing users with faster transaction speeds and lower fees.
It will also enable instant bridging between itself and Solana, as well as adding compatibility with other chains post-launch.
It aims to use its speed and scalability to become a significant hub for DeFi and meme coins, which continue to be the main use case for Solana.
SOLX, its native token, will serve exclusively to pay for transaction fees, while holders will also be to stake it for a passive income.
As such, it could enjoy massive demand, especially if Solaxy really takes off.
Traders can join the SOLX presale by going to the Solaxy website, where the coin currently costs $0.001688.
This price will continue to rise for as long as the sale lasts, so investors should move quickly if they want to make the biggest possible gains.
The post Is $1,000 the Final Floor for Ethereum? One Metric Thinks So appeared first on Cryptonews.
