Ethereum price was gaining huge strength since the beginning of the month as the market sentiments were coiling up ahead of ‘The Merger’. However, with the release of the fresh inflation rates, the price tumbled down heavily from around $1757 and reached the lows of around $1553. Presently, the price is attempting very hard to rise above $1600, but the bearish influence has not ceased yet.
On the positive side, the ETH price, since the early trading hours has been trying to validate a firm flip from the bearish divergence. Meanwhile, the bears continue to mount enough selling pressure. Besides, the transition to PoS or the Merger is fast approaching as less than 5000 blocks are left to be mined.
Within such favorable market conditions, will ETH price reach $2000 as predicted earlier?
Ethereum broke down from the uptrend line during the previous trading day, which formed a lower high at around $1670. A rejection from here may differ the probability of surging beyond the trend line and drag the price lower to form the next lower low, that potentially resides around $1370.
Additionally, the ETH price is required to range above $1660 and sustain above these levels. Once done, the price may eventually begin with a gigantic surge that could regain levels above $1700. Besides, the funding rate on ETH shifts to ultra negative as the traders hedge with shorts on Ethereum to cover their positions.
Therefore, the market participants believe the ETH price may pump harder during the day of the Merger, while the upper targets still remain misty.