Why ETH price keeps decreasing? - page 6.

Jackl87

sr. member

Activity: 1722

Merit: 269

Quote from: ChillyMatthew on October 13, 2022, 12:51:57 PM

Hi everyone. I'd like to get your take on this since I'm not really sure what am I missing here.
Although one would anticipate that the price of ETH should increase given that the supply has decreased by over 5,500 since last Saturday, for some reason, ETH prices haven't exactly seen the coresponding price boost despite lowered supply.

Well to be honest i also have a hard time to understand why the longterm trend of ETH is downwards in the last few months even though you should think that it would be the other way around because now Ethereum is deflationary and you would think that the FOMO should now kick in slowly but surely. I would guess that the fact that it becomes deflationary was already priced in during the last bullrun when it became public that ETH would switch to PoS and that it would become deflationary with that move. Now that fact is very old news already and not a lot of people are buying because of that fact anymore.

bittick

hero member

Activity: 2296

Merit: 506

Cryptocasino.com

I guess it was caused by the second layer smart contract that was already eating big shares of eth markets all in all, even after the merge, eth value still isn't moving, it's still stuck, the demand for eth decreases because there are many 2nd layer solutions that's just better than eth in general, moreover their gas fee are significantly lesser than eth, no reason coming back to eth again therefore eth lacking demands, I think that's the reasoning.

btc_angela

hero member

Activity: 2660

Merit: 551

Quote from: ChillyMatthew on October 13, 2022, 12:51:57 PM

Hi everyone. I'd like to get your take on this since I'm not really sure what am I missing here.

Although one would anticipate that the price of ETH should increase given that the supply has decreased by over 5,500 since last Saturday, for some reason, ETH prices haven't exactly seen the coresponding price boost despite lowered supply.

Why hasn't this had a beneficial effect on the price of ETH?

Original source:

https://twitter.com/thetokenist/status/1580532690360872961

https://tokenist.com/ethereum-turns-deflationary-but-drops-7-as-market-stays-uncertain/

It is obvious that we are in bear sentiments isn't it?

So there is no amount of hype that can make a token rise in this cycle right now, not even Bitcoin and Ethereum. If there is, expect that it is just pure pump and dump.

Yes, it's good Ethereum supply is getting limited, but if there are non buyers, this news will not affect it's price and it boils down that investors are not willing to buy because of the negative sentiments.

serjent05

legendary

Activity: 2884

Merit: 1258

Up to 300% + 200 FS deposit bonuses

The ETH market is dictated by supply and demand. At the current market trend, the supply exceeds the demand, one of the reasons why the price of ETH keeps on decreasing. Aside from that, the previous merge hype also has something to do about it. We all know that the whole cryptocurrency market is at a bear trend but ETH rallies due to the hype of merge and now that the market is back to normal, the market of ETH goes back to normal and since ETH was overbought, it tends to have a correction. Aside from that, many thinks that due to the minting of ETH become cheaper, the market will also adjust according to the needed fund to mint/mine ETH.

Jating

hero member

Activity: 2842

Merit: 772

The simple explanation is that we are in the bear market, and with that, there are more sellers vs buyers. And even if there is hype around the merging and supply is dwindling, there is not that much demand in the market.

And to be fair, it's not that ETH that keeps decreasing, majority of the altcoin market is suffering from -70% to -90% down from their all time high. Which mean it is cheap so take advantage of the situation and accumulate cheap altcoins right now.

goaldigger

sr. member

Activity: 2422

Merit: 357

The supply might become lower but if there’s no demand for that, you can’t expect for the price to go up. Probably people are into Bitcoin right now or they hold more stablecoins for now waiting for the right moment to buy more cheaper ETH, and because of the market trend this is a best way to be more safe. The trend influence the whole market, we can’t expect ETH to pump while others are dumping, ETH also rely with the trend of BTC no matter how good the news is.

BIT-BENDER

hero member

Activity: 1498

Merit: 702

Don't know if someone has told you this but it does not take only the supply chain to increase before and increase in price it works side by side with the demand. Although like you I am surprised that Ethereum has not given us a significant rise even after the merger and other things that happened to Ethereum recently.

Ethereum is one of my favorites coins and if I were to get interested in Altcoin Ethereum would be my next option. The usage of this coin remains actively continuously making it a long term successful coin.

fvb

member

Activity: 1470

Merit: 13

Because that's the trend right now. And rightly here you were told that this is not one reason, but there are many of them at the moment. But I think that this will change in the future, I can't say exactly when, but maybe very soon.

TimeTeller

hero member

Activity: 2744

Merit: 588

Quote from: ?? on ??

Quote from: zasad@ on October 13, 2022, 02:48:30 PM

According to May analysts, the price of bitcoin fell by 71.6% from the all-time high, and the price of ethereum fell by 73.4% from the all-time high. And the price reduction for other coins approached 90% or more. The price of Ethereum holds up very well relative to many other coins.

i agree with you. like the price of ethereum still depends on the price of bitcoin and compared to other coins only ethereum has the same decrease and when bitcoin will go up 100% ethereum will also go up 100%

and for the OP the other reason why ethereum is still not moving up and the price is getting lower is because the bear market is still going on. that's the most appropriate reason. we can see when the bull come ethereum will give a very good price

As ETH is also following the market trend of BTC, expect that it won't fly high anytime soon.
But as BTC starts to pump up again, more than likely, ETH will follow thru.
The good thing about ETH is this network is not just a crappy project but has a solid foundation that won't disappear when you wake up.
It may be down today, but the likelihood of recovering is very high, unlike those meme tokens or other pump and dump projects.

Muslimin mj

member

Activity: 568

Merit: 18

Goldeth.io

Quote from: ChillyMatthew on October 13, 2022, 12:51:57 PM

Hi everyone. I'd like to get your take on this since I'm not really sure what am I missing here.

Although one would anticipate that the price of ETH should increase given that the supply has decreased by over 5,500 since last Saturday, for some reason, ETH prices haven't exactly seen the coresponding price boost despite lowered supply.

Why hasn't this had a beneficial effect on the price of ETH?

Original source:

https://twitter.com/thetokenist/status/1580532690360872961

https://tokenist.com/ethereum-turns-deflationary-but-drops-7-as-market-stays-uncertain/

we are currently in an unstable market condition and the prices of other altcoins are also declining, so it's not only ethereum that is experiencing price drops even though the merger process was completed some time ago. but that doesn't mean it doesn't have any after effects. but you have to understand the current conditions or trends. so you can find the answer why the price of ethereum is not increasing.

Lizzylove1

member

Activity: 858

Merit: 13

Christ The King

Bitcoin is the king of the cryptocurrency, and it controls the market, every other single project in the market relies on the direction of bitcoin to make a decision. Should bitcoin starts going haywire, every other projects will receive life. Another thing about ETH price is the switch from POW to POS, resulting in a fork which think they should retain POW.

Bananington

sr. member

Activity: 1428

Merit: 344

We are still in the bear market so you shouldn't expect any significant increment with any major cryptocurrency for the now. If it if it really is your choice of coins to hold on just keep holding with some expectations of things to get better but generally it has been said that due to the transition in ethereum from POW to POS, the prices may not go so high anymore.

zasad@

legendary

Activity: 1876

Merit: 4532

According to May analysts, the price of bitcoin fell by 71.6% from the all-time high, and the price of ethereum fell by 73.4% from the all-time high. And the price reduction for other coins approached 90% or more. The price of Ethereum holds up very well relative to many other coins.

GelatikKembar

full member

Activity: 854

Merit: 100

The OGz Club

there are many reasons why Ethereum continues to decline, the first is the Ethereum Merge has finished and made the Hype disappear,
because many traders only care about that, the second we are in a bear market, meaning that the Bitcoin price is falling makes Ethereum also go down,
and the third is indeed according to chart analysis, the price of Ethereum is certain to continue to fall.

jossiel

hero member

Activity: 2842

Merit: 625

It's because of the trend.

Bitcoin is still the reason why it hasn't move that much even after the merge and from being pow to pos. And as the CPI report has came out, there's still another reason why it wouldn't go up.

Well, it's going to be a matter of time again until we see it move. This verifies that we're in a bear market and it could stay in there for quite a while.

ChillyMatthew

newbie

Activity: 29

Merit: 1

Hi everyone. I'd like to get your take on this since I'm not really sure what am I missing here.

Although one would anticipate that the price of ETH should increase given that the supply has decreased by over 5,500 since last Saturday, for some reason, ETH prices haven't exactly seen the coresponding price boost despite lowered supply.

Why hasn't this had a beneficial effect on the price of ETH?

Original source:

https://twitter.com/thetokenist/status/1580532690360872961

https://tokenist.com/ethereum-turns-deflationary-but-drops-7-as-market-stays-uncertain/

Topic: Why ETH price keeps decreasing? - page 6. (Read 1032 times)