• Ethereum fell below $1,200 on Wednesday, trading down 1.87%.
• All of the top 10 cryptocurrencies by market cap were in the red.
• Ethereum has yet to find a bullish footing, and further downsides are possible.
The cryptocurrency market has been in a rut over the past few days, and Ethereum is no exception. On Wednesday, the second-largest cryptocurrency by market cap fell further below the $1,200 level, trading down 1.87%. All of the top 10 cryptocurrencies by market cap were in the red, indicating a weak sentiment in the crypto sector. Ethereum has yet to find a bullish footing, and further downsides are possible.
This has been a testing year for Ethereum, which has seen its price languish below the $1,200 mark for a large part of the year. After hitting an all-time high of $4,400 in 2021, the cryptocurrency had a sharp fall, and has since been unable to recoup its losses. This was followed by the merge of Ethereum 1.0 and Ethereum 2.0, which saw the blockchain transition to the proof of stake protocol. Despite these developments, the price has failed to take off, leaving Ethereum traders and analysts scratching their heads.
The co-founder of Ethereum, Vitalik Buterin, recently said that the focus should be on the technology rather than the price. This is a sentiment that many cryptocurrency enthusiasts have echoed, with some taking a longer-term view of the market. However, for traders, the question of when the next bull run will occur is still on their minds.
At present, there is no clear answer to this question. Ethereum is yet to find a bullish footing, and further downside movements are possible. This could mean that those looking to buy Ethereum in the new year may be better off waiting a little longer before entering the market. Nevertheless, Ethereum still holds a lot of potential, and could be an attractive option for investors in the long-term.