Ethereum Predicted Not to Rebound in the Short Term

Bittime - In the last few weeks, the crypto market including Ethereum (ETH), has experienced sharp volatility. Greeks.live predicts that this pressure will continue and Ethereum price will not experience a rebound any time soon.

Federal Reserve Chairman's Speech and Ethereum

One of the main factors that influence the market is a statement by the Chairman of the Federal Reserve, Jerome Powell, at the annual meeting of Global Central Banks in Jackson Hole. Powell indicated a possible interest rate cut in September. 

The majority of market players expect a cut of 25 basis points, but if economic data shows significant weakness, the cut could reach 50 basis points. This promise of interest rate cuts initially boosted market confidence, which caused prices of some crypto assets to rise. 

However, even though the market is showing signs of recovery, there is still uncertainty regarding the long-term trend. This also applies to Ethereum, whose performance remains sluggish after the Cancun update.

Read Also: Ethereum Annual Inflation Rate 0,5%, High or Low?

Causes of Fatigue Ethereum 

According to Greeks.live, one of the main causes of Ethereum's downturn is the huge drop in ETH consumption, which has caused Ethereum's deflation mechanism to fail to function effectively.  

With this decrease in consumption, Ethereum's deflation flywheel, which was supposed to help in reducing the total amount of ETH in circulation, is not working as expected. 

This causes persistent downward pressure on the price of ETH, making the chances of a significant rebound in the near future very slim. Ethereum Gas Price is currently below 0.8 Gwei, indicating low activity on the network.

Important Economic Agenda This Week

Meanwhile, from August 26-September 1, there will be a number of important events expected to influence the crypto market as a whole, including Ethereum.  

1. August 27: Speech by Mary Daly, President of the San Francisco Fed who is also a voting member of the 2024 FOMC.
2. August 28: Speech by Federal Reserve Board Governor Christopher Waller.
3. August 29: Release of initial jobless claims in the US for the week, as well as a speech by Atlanta Fed President Raphael Bostic.
4. August 30: Important data releases such as the US annual core PCE price index for July, and the final value of the University of Michigan consumer confidence index for August.  
5. August 30: Russia is starting to implement laws regarding cross-border payments using digital assets and the legalization of crypto mining.

Important agenda above has the potential to influence the crypto market significantly, especially regarding monetary policy in the US, as well as Russia's upcoming new laws influence global crypto adoption.

Read Also: 10x Research Suggests Long Bitcoin and Short Ethereum Strategy, Why?

How to Buy Crypto with Bittime

You can buy and sell crypto assets in an easy and safe way via Bittime. over is one of the best crypto applications in Indonesia which is officially registered with Bappebti. 

To be able to buy crypto assets on Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application. 

Monitor graphic movement price Bitcoin (BTC), Ethereum (ETH), Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.